Governor Ademola Adeleke has welcomed the intervention of the Federal Ministry of Mines regarding Osun State’s tax disputes with Thors Explorations Limited, asserting that the state has validated its claims in accordance with the Constitution and existing laws.
Adeleke’s comments were shared in a statement from his spokesperson, Olawale Rasheed, on Sunday. The governor had previously reached out to Minister of Mines Dele Alake, expressing the state’s support for efforts to attract foreign direct investment into Nigeria.
However, Adeleke emphasized that investors must maintain transparency, adhere to local laws, and protect the environment. He noted that discussions and negotiations with Thors Explorations have been ongoing since 2023 without resolution, stating, “Segilola Resources Operating Limited has accumulated tax liabilities of 3.25 billion naira, with a demand notice issued in April 2024.”
The governor underscored Osun’s legal right to collect tax liabilities, adding that Thors Explorations is operating six additional companies on-site without notifying the state government for tax and environmental accountability. He listed these companies as SINIC Engineering Limited, ATF Consulting Limited, Monument Nigeria Limited, Rabaa Cleaning Limited, Deep Rock Drilling Services, and CEFO Security Limited.
Adeleke also revealed that Thor Exploration Limited confirmed Osun’s ownership of 5,192,896 shares in Thor Exploration, United Kingdom, insisting that the state is entitled to collect financial returns as a shareholder.
Addressing the environmental impact of Thors’ mining activities, Adeleke stated, “The company has a duty to pay for environmental reclamation,” noting that environmental issues fall under the concurrent legislative list.
“Our state has several mining licenses and is a critical stakeholder with a deep understanding of the laws and the Constitution. Our actions aim to secure what is due to our state as affirmed by existing laws and practices. We have a robust business environment and welcome various investors, but we oppose a lack of transparency and accountability in the mining sector. Local laws must be respected, as practiced in Europe and North America,” he added.
Adeleke expressed anticipation for the federal fact-finding team, asserting that Thors cannot evade local tax obligations or disregard shareholder rights while compromising the environment.
Amid the dispute, the Federal Ministry of Solid Minerals Development cautioned against actions that could deter foreign investment, following the closure of a gold mining site in Osun. The Osun government sealed the premises of Segilola Resources Operating Limited, citing tax violations and unethical practices.
Minister Dele Alake expressed concern over the potential negative impact of the closure on Nigeria’s efforts to attract foreign direct investment to the mining sector.
