Aspian Bitumen Limited, a local investment company, has alleged losses running into billions of naira due to the Oyo State Government’s quit notice ordering the vacation of its operational base at Makanju Village in Akinyele Local Government Area.
The state government, through the Ministry of Lands and Housing, has maintained that the company encroached on the Right of Way for the ongoing Circular Road construction project.
At a press briefing in Ibadan on Monday, the Managing Director of Aspian Bitumen, Mr. Ayoola Bello, lamented the impact of the government’s action, stating that the land in question contains granite deposits estimated at 90 million tons, valued at approximately one trillion naira.
He explained that the company had been exploring the potential of harnessing the granite deposit to boost Nigeria’s Gross Domestic Product (GDP). Additionally, he revealed plans for lithium oxide exploration at the site to support the production of electrical batteries.
“Our company brought investors from the United States to explore these resources and build a factory in Ibadan,” Bello said. “In July 2024, the investors visited Nigeria and met with the Director of Solid Minerals in Abuja, where they were encouraged to invest in the country.”
Bello added that research conducted by the company indicated the potential for discovering abundant water resources within the quarry site, which could benefit the entire Ibadan community.
However, he expressed dismay over the government’s actions, noting that the company had obtained a High Court order in February 2023 restraining the state from building structures around the quarry. Despite the order, construction allegedly continued, and the company’s operations were forcibly shut down in September 2023.
Bello further stated that the government’s actions on January 22, 2025, when its agents marked the company’s equipment for removal within seven days, have deepened the company’s losses. He described the situation as a violation of the Nigerian Minerals and Mining Act 2007, which protects the rights of mining operators.
Meanwhile, the Oyo State Commissioner for Lands and Housing, Mr. Williams Akin-Funmilayo, reiterated the government’s stance in a letter titled Enforcement Notice Regarding Unauthorized Occupation of Government Land Designated for the Circular Road Construction Project.
The letter, signed by TPL Sorunke F.O. on behalf of the commissioner, emphasized that the land falls within the Circular Road’s Right of Way and must be vacated to ensure the project’s progress.
“It is disheartening to note that despite earlier notices issued since September 2023, the company has flagrantly disregarded the government’s order to remove the encumbrances,” the letter read. “The blockage constitutes an obstruction to the timely and successful execution of this critical public infrastructure project.”
The government also stated that portions of Senator Abiola Ajimobi GRA land encroaching on the Circular Road’s Right of Way would be adjusted accordingly to prioritize public interest.
Aspian Bitumen, however, insists that its operations have adhered to legal guidelines and that the government’s actions amount to a breach of the law.
