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Nigerian govt denies ‘British lithium project’ seizure, alleges smear campaign ahead of Tinubu’s UK visit

ABI Analysis · Nigeria mining Sentiment: -0.65 (negative) · 15/03/2026
Nigeria's categorical denial of allegations surrounding the seizure of a British-backed lithium project and its subsequent transfer to Chinese operators has reignited concerns about regulatory predictability and contract enforcement in Africa's critical minerals sector. The Nigerian government's framing of these accusations as a coordinated smear campaign—particularly timed ahead of President Bola Tinubu's official visit to the United Kingdom—underscores deeper tensions between Western and Chinese interests competing for dominance in Africa's energy transition supply chain. The timing of this dispute carries significant diplomatic weight. As Nigeria positions itself as a gateway for European investment in critical minerals, allegations of preferential treatment toward Chinese operators strike at the heart of investor confidence. For European entrepreneurs and investment funds targeting African resources, the incident raises uncomfortable questions about the stability of contractual agreements and the government's commitment to transparent project governance. Lithium has emerged as the strategic battleground in global energy infrastructure. As Europe accelerates its electric vehicle transition and renewable energy ambitions, African reserves—particularly in Nigeria and across the continent—have become critical to supply chain security. The European Union's Critical Raw Materials Act reflects this urgency, with African sources potentially accounting for 15-20% of Europe's lithium requirements by 2030. In this context,

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Gateway Intelligence
European investors considering Nigerian lithium and critical minerals projects should demand independent third-party audits of government claims, written guarantees of contract sanctity from the highest political levels, and participation in multi-lateral investment structures (not bilateral arrangements vulnerable to political reversal). The current dispute signals elevated sovereign risk; European capital should command premium terms, shorter concession periods, and expedited arbitration clauses favoring international courts rather than domestic remedies until institutional credibility is demonstrably restored.

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Sources: Premium Times

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