The Obi-Lafia coalfield in Nasarawa State, spanning the Shankodi-Jangwa, Agwatashi and Jangwa seams, contains an estimated 128 million tonnes of coal and has consistently been identified by the National Steel Raw Materials Exploration Agency (NSRMEA) as one of Nigeria’s most promising deposits for metallurgical coke production. However, agency officials say the resource cannot yet be supplied directly to steelmakers. Its relatively high ash content and variations in coal quality across seams require beneficiation, while Nigeria currently lacks commercial-scale facilities capable of processing the coal to blast-furnace specifications.
Laboratory washability and froth-flotation tests conducted on Obi-Lafia samples indicate that the coal responds well to beneficiation. According to NSRMEA, bench-scale tests using a separating density of about 1.6 produced ash content of approximately 5.7% at an estimated yield of around 80%. Moving from laboratory success to commercial production, however, would require significant investment in dense-medium separation circuits, jig washers, flotation cells, tailings management and water infrastructure, facilities that are not yet available at the project site. The agency maintains that further in-seam exploration, bulk sampling and pilot-scale testing must precede any decision to construct a commercial wash plant.
Several potential development pathways exist. Chinese engineering, procurement and construction (EPC) firms have increasingly marketed modular coal-washing plants ranging from about 50 to 600 tonnes per hour, offering relatively cost-competitive solutions for emerging mining markets. South Africa provides another practical model, operating some of the world’s largest coal beneficiation facilities, while South African-linked contractors have also delivered smaller coal-washing plants elsewhere on the continent, including a facility commissioned in Zimbabwe in 2025 to upgrade run-of-mine coal for coking applications. A third option would integrate beneficiation into the broader revival of the Ajaokuta Steel Complex, where the Nigerian government has previously held discussions with Chinese steel companies, including Jingye Group and Sinosteel.
Time remains the industry’s biggest constraint. Based on NSRMEA’s proposed development sequence, covering exploration, bulk sampling, pilot testing and commercial plant construction, industrial-scale production is unlikely before the end of the decade and would also depend on Ajaokuta Steel emerging as a reliable off-taker. The agency has requested a dedicated government intervention fund to accelerate exploration and project development, although no approval has yet been announced. Until commercial coal beneficiation capacity is established, Nigeria’s ambition to revive integrated steelmaking will continue to depend on either imported metallurgical coal or further delays in unlocking its domestic resource base.
