BUA Cement faces crisis with Imiokpe host community in Edo, accused of exploitation, expired agreements, and disregard for mining laws

BUA Cement is facing a major crisis with its host community in Imiokpe, Okpella, Etsako East LGA of Edo State, as locals accuse the cement giant of exploitation, manipulation, and disregard for Nigeria’s mining laws.

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In petitions and protest letters addressed to the Director-General of the Nigeria Mining Cadastre Office, the Imiokpe kindred alleged that BUA Cement has failed to conclude a Community Development Agreement (CDA) with them since the expiration of the last agreement in November 2024.

unity Alleges Illegal Stakeholder Negotiations

The kindred argues that under Section 116(1) of the Nigerian Minerals and Mining Act, 2007, mining companies are mandated to sign a CDA directly with host communities.

Instead, they accuse BUA of negotiating with “stakeholders” rather than the rightful landowners and mineral title holders.

“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 filed by their solicitors, Sylva A. Oniakhena & Co., stated.

Expired Agreement and Exploitation Claims

The community further alleged that BUA has been 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 claim royalties paid are grossly inadequate compared to the volume of minerals extracted daily and argue that the community has been sidelined in employment opportunities, infrastructure, 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 Licence Revocation Threat

In a 7-day ultimatum, the Imiokpe kindred warned that if BUA Cement fails to conclude a CDA, they will pursue legal and direct action, including reclaiming and mortgaging their mineral titles to other compliant investors.

Their lawyers also petitioned the Nigeria Mining Cadastre Office to revoke BUA’s mining licence should the company continue to defy the law.

A Test Case for Mining Governance

Analysts suggest the Imiokpe dispute may become a litmus test for the enforcement of Nigeria’s mining laws.

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They note that other Okpella kindreds such as Egbetua (with BUA) and Ukhomuyio (with Dangote Cement) have executed direct CDAs, raising questions of double standards in Imiokpe’s case.