In an interview with the Sun on Saturday, January 31, 2026, Comrade Jamilu Aliyu Charanchi, Coordinator of the Coalition of Northern Groups (CNG), has questioned the economic logic of establishing a gold refinery outside the regions where the precious metal is actually mined.
Charanchi invoked a fundamental principle of industrial location in his criticism of the refinery placement decision.
“One of the conditions of setting up an industry is the nearest to the raw materials,” Charanchi stated.
The CNG coordinator emphasized that Lagos has no historical connection to gold production in Nigeria, making its selection as a refinery location questionable.
“I don’t have the history and I have never seen the history that shows that Lagos produces this gold that they are talking about today,” he said.
Charanchi pointed to the actual source of Nigeria’s gold resources, identifying specific northern states as the production centers.
“This gold is being produced in Zamfara, and other northern states,” he concluded.
His comments highlight concerns about value addition and economic benefits being directed away from resource-producing communities. Zamfara State in particular has been identified as one of Nigeria’s major gold-producing areas, along with other states in the northern region.
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