The Ebonyi State government, yesterday, sealed four mining companies over noncompliance with the Community Development Agreement (CDA) in the state. Findings revealed that the CDA is meant to ensure mining companies see the need to develop communities where they operate.
The Commissioner for Solid Minerals and Natural Resources, Chidi Onyia, who led a joint taskforce operation to seal the companies, said the miners were given ample time to get their acts together and comply with the agreement but failed.
“The companies were given enough time, since July last year, to meet the CDA requirements but choose to ignore the rules,” he said. The closed companies are Anli Mining and Investment Ltd; China Solid Rock 1 and 2, located at Ngodo Amachi, in Afikpo Local Council, and Shenglong Mining, at Eziulo, in the Ishielu Council of the state.
It was learnt that no fewer than 10 local workers were laid off at the China Solid Rock 2 operated by the Chinese in the Afikpo area. According to the Commissioner, the sites would remain shut until the companies comply with the state government’s directives.
He said: “Ebonyi people are treated like they have no value. The Mining Act clearly states that every miner must prepare a CDA to benefit and uplift the community. But most mining companies in the state have ignored this. This is against the dictates of the state, and we won’t take it anymore.
“The land belongs to the people. Even though these companies have leases from the Federal Government, they must ensure the communities benefit from their operations.”
He lashed out at the Shenglong Mining site operators, describing the CDA as fraudulent. He said: “The agreement Shenglong provided is fraudulent. There are clear procedures and templates for developing a CDA. How can a company of this size justify that the community’s only benefit is one N1 million yearly”?
We have companies here in Ebonyi constructing tarred roads for their host communities. Why is Shenglong different?” The Commissioner, however, assured that the state government would continue to monitor mining activities to ensure all companies followed the law, warning that any company found breaking the rules would be shut down. Reacting, the General Manager of Anli Mining and Investment Ltd, George Li, said he would work with the state government to resolve the issue.