The Ebonyi State government on Wednesday sealed four mining companies over noncompliance to the dictates of Community Development Agreement in the state.
Findings revealed that the CDA is meant to ensure mining companies 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 to 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 on Ngodo Amachi, in the Afikpo Local Government Area; and the Shenglong Mining, at Eziulo, in the Ishielu Council of the state.
It was further learnt that no fewer than ten local workers were laid off at the China Solid Rock 2 operated by the Chinese in the Afikpo area. The development negates the principles of the Agreement and mining regulations.
According to the commissioner, the sites would remain shut until the companies comply with the state government’s directives.
He said, “Ebonyi people are being treated like they have no value. The Mining Act clearly states that every miner must prepare a CDA to benefits and uplift the community wherein they operate. But most mining companies in Ebonyi State have ignored this. This is against the dictates of the state and we won’t take anymore.
“The land belongs to the people. And even though these companies have leases from the Federal Government, they must ensure the communities benefits from their operations.”
He lashed out at the Shenglong Mining site operators and described its CDA as fraudulent.
“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 million naira annually?
“We have companies here in Ebonyi that are constructing tarred roads for their host communities. Why is Shenglong different?” he queried.
The commissioner assured that the state government will continue to monitor mining activities to ensure all companies followed the law, warning that any company found breaking the rules will be shutdown.
Reacting, the General Manager of Anli Mining and Investment Ltd, Mr George Li, said he would work with the state government to resolve the issue.
Ebonyi Govt seals 4 mining companies over neglect of host communities
