The crisis between BUA Cement Plc and its host community in Imiokpe, Okpella, Etsako East Local Government Area of Edo State, has escalated, as the Imiokpe kindred accused the cement giant of exploitation, manipulation, and disregard for mining laws.
In protest letters, petitions, and final demand notices addressed to the Director-General of the Nigeria Mining Cadastre Office, the community alleged that BUA Cement has failed to conclude a Community Development Agreement (CDA) with them despite the expiration of the previous agreement in November 2024.
Community Alleges Illegal Stakeholder Negotiations
The Imiokpe kindred insists that under Section 116(1) of the Nigerian Minerals and Mining Act, 2007, mining firms must sign a CDA directly with the host community. They accuse BUA of bypassing this requirement by negotiating with a group of “stakeholders” instead of the rightful landowners and mineral title holders.
In a petition filed by their solicitors, Sylva A. Oniakhena & Co., the community argued that the company’s action is “an illegality designed to rob the rightful owners of their heritage.”
“Ownership of land rests squarely on kindreds in Okpella, who by law are referred to as host communities. It is our client, as host community, that BUA Cement Plc is mandated to execute a CDA with—not the entire Okpella clan,” the petition stressed.
Expired Agreement, Exploitation Claims
According to the petitioners, BUA has continued extracting limestone, laterite, clay, and iron ore from Ikpe-Obia and Oke-Igholi mining sites without a valid agreement, describing the situation as “daylight exploitation.”
They further alleged that royalties paid by the company are grossly inadequate compared to the volume of minerals extracted daily, while the community remains sidelined in employment, infrastructure projects, and revenue-sharing.
“BUA’s style is to delay, exploit, and profit without giving the host community its due benefits. This aberration will no longer be tolerated,” one of the protest letters read.
Ultimatum and Calls for Licence Revocation
In a 7-day ultimatum issued to the company, the community warned that failure to conclude a CDA will force them to take legal and direct action, including recovering and mortgaging their mineral titles to other investors willing to comply with the law.
Their counsel, Oniakhena & Co., has also petitioned the Nigeria Mining Cadastre Office to revoke BUA Cement’s mining licence if it continues to ignore legal directives.
A Test Case for Mining Governance
Observers say the Imiokpe dispute could become a litmus test for the enforcement of Nigeria’s mining laws and corporate governance practices.
They pointed out that other Okpella kindreds, including Egbetua (with BUA) and Ukhomuyio (with Dangote Cement), have successfully executed direct CDAs, fueling suspicions of exploitation and double standards in Imiokpe’s case.
