Description

Nigeria is blessed with abundant mineral resources, which are from time immemorial formed the backbone of the nation’s economic and industrial development aspirations. Prior to independence, the nation’s mineral raw material resources contributed immensely to the export earnings of the nation.

For over three decades, the Country has continued to depend entirely on oil for her revenue and the volatile nature of the oil market has made it imperative for us to diversify the mono-product economy through exploitation and processing of our abundant solid mineral resources.

The clamour for resource control being advocated by states with petroleum resources in their domain makes it imperative for us to develop, exploit, process and utilize our solid minerals – particularly Non-metallic Minerals as every part of this country is blessed with one or more solid mineral that could yield substantial revenue for sustainable development.

Exploitation of the Non-metallic Minerals has not attained the desired level, mainly because of the various constraints associated with their exploitation, development and processing for utilization. Many of the non-metallic minerals, which are vital to the industrial take off of the country, have been found in commercial quantities within the country.

They include limestone, dolomite, marble, kaolin, barite, diatomite, feldspar, quartz and silica sands, gypsum, talc, silimanite, kyanite, phosphate, salt and bentonite.

This report seeks to examine the financial viability or otherwise of establishing barite ore milling plant in Nigeria which involves the sourcing of barite ore of 4.5 specific gravity and above , milling and packaging for sales to oil servicing companies, manufacturers of glass, paints and plastics.

The demand for milled barite ore is quite high in Nigeria and the raw material is also available in commercial quantity.

Barite has many applications; the most significant of it is its usage by the oil companies when drilling for crude oil or petroleum. Other importance of Barites are highlighted below

• Used in the manufacturing of drilling mud without which petroleum prospecting will be impossible. In fact, the demand for Baryte by the oil companies is more than the demand for water by human beings but the supply is very low because only a very few individuals are aware of this business opportunity.
• Used by chemical industries in the manufacturing of Barium compounds such as chloride, nitrate, carbonate, and hydrate e.t.c.
• Used in paper and plastics productions
• Used by textiles industries as weighting materials
• It is also used metallurgical industries for Brass melting e.t.c.
• Also used in manufacturing glass, paints e.t.c

The production capacity of the proposed milling plant is one and half {1.5} tons per hour.