Nigerian Coal Corporation
Encyclopedia
The Nigerian Coal Corporation (NCC) is a Nigeria
Nigeria
Nigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...

n parastatal corporation responsible for mining and selling coal
Coal
Coal is a combustible black or brownish-black sedimentary rock usually occurring in rock strata in layers or veins called coal beds or coal seams. The harder forms, such as anthracite coal, can be regarded as metamorphic rock because of later exposure to elevated temperature and pressure...

. It is based in Enugu
Enugu
Enugu is the capital of Enugu State in Nigeria. It is located in the southeastern area of Nigeria and is largely populated by members of the Igbo ethnic group. The city has a population of 722,664 according to the 2006 Nigerian census. The name Enugu is derived from the two Igbo words Enu Ugwu...

.

Origin

In 1909, coal was discovered in Enugu
Enugu
Enugu is the capital of Enugu State in Nigeria. It is located in the southeastern area of Nigeria and is largely populated by members of the Igbo ethnic group. The city has a population of 722,664 according to the 2006 Nigerian census. The name Enugu is derived from the two Igbo words Enu Ugwu...

, Nigeria. The Ogbete drift mine opened six years later. The Ogbete mine's operations and others in the country were merged into a new corporation in 1950: The Nigerian Coal Corporation. The NCC was tasked with exploiting coal resources, and held a monopoly on coal and coke mining, production, and sales until 1999.

Production Problems and Decline of Coal

Nigeria's coal industry suffered a blow in the 1950s when oil was discovered. Up until this point, the Nigerian Railway Corporation was the largest consumer of coal in the country. However, after the discovery of oil, the Railway Corporation began to replace its coal burning trains with diesel
Diesel engine
A diesel engine is an internal combustion engine that uses the heat of compression to initiate ignition to burn the fuel, which is injected into the combustion chamber...

-powered engines. An additional negative impact came when the Electricity Corporation of Nigeria began converting its power generation equipment from coal to diesel and gas as well.

The Nigerian Civil War
Nigerian Civil War
The Nigerian Civil War, also known as the Nigerian-Biafran War, 6 July 1967–15 January 1970, was a political conflict caused by the attempted secession of the southeastern provinces of Nigeria as the self-proclaimed Republic of Biafra...

 also negatively impacted coal production; many mines were abandoned during the war. Following the war, production never completely recovered and coal production levels were erratic. Attempts at mechanizing production ended badly, as both the implementation and maintenance of imported mining equipment proved troublesome, and hurt production. After the civil war, the Nigerian coal industry has not been able to return to its peak production in the 1950s.
Production Levels
Year Tons Produced
1916 25,511
1920 180,122
1930 347,115
1940 318,594
1950 583,425
1960 565,681
1970 24,404
1980 118,317
1987 117,159

Today

Nigeria still holds large coal reserves, estimated to be at least 2 billion metric tons. The discovery of bituminous coal suitable for use in coke
Coke (fuel)
Coke is the solid carbonaceous material derived from destructive distillation of low-ash, low-sulfur bituminous coal. Cokes from coal are grey, hard, and porous. While coke can be formed naturally, the commonly used form is man-made.- History :...

 production for the iron
Iron
Iron is a chemical element with the symbol Fe and atomic number 26. It is a metal in the first transition series. It is the most common element forming the planet Earth as a whole, forming much of Earth's outer and inner core. It is the fourth most common element in the Earth's crust...

 and steel
Steel
Steel is an alloy that consists mostly of iron and has a carbon content between 0.2% and 2.1% by weight, depending on the grade. Carbon is the most common alloying material for iron, but various other alloying elements are used, such as manganese, chromium, vanadium, and tungsten...

 industries opens up potential new domestic markets. With the loss of its largest domestic consumers, the NCC began exporting coal to Italy
Italy
Italy , officially the Italian Republic languages]] under the European Charter for Regional or Minority Languages. In each of these, Italy's official name is as follows:;;;;;;;;), is a unitary parliamentary republic in South-Central Europe. To the north it borders France, Switzerland, Austria and...

 and the United Kingdom
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...

, as its low sulfur
Sulfur
Sulfur or sulphur is the chemical element with atomic number 16. In the periodic table it is represented by the symbol S. It is an abundant, multivalent non-metal. Under normal conditions, sulfur atoms form cyclic octatomic molecules with chemical formula S8. Elemental sulfur is a bright yellow...

 content is desirable.

In 1999, the NCC lost its monopoly over the Nigerian coal industry as the Obasanjo government allowed private companies to begin operating coal fields in joint ventures with the NCC, with an eventual goal of completely selling off the NCC's assets to private investors. The Nigerian government planned to sell 40% to private investors and 20% to the Nigerian public, while retaining 40%.

In 2002, work stopped at NCC-operated mines. In 2003, the Nigerian government announced plans to create a technical advisory committee that would be tasked with reviving Nigeria's coal industry.

By 2004, the technical committee had still not issued their report, and the NCC found itself almost bankrupt. To raise funds, it began to sell off some of its assets in an attempt to pay off its mounting debt
Debt
A debt is an obligation owed by one party to a second party, the creditor; usually this refers to assets granted by the creditor to the debtor, but the term can also be used metaphorically to cover moral obligations and other interactions not based on economic value.A debt is created when a...

, including salary
Salary
A salary is a form of periodic payment from an employer to an employee, which may be specified in an employment contract. It is contrasted with piece wages, where each job, hour or other unit is paid separately, rather than on a periodic basis....

 that was owed to its employees. Additionally, the Enugu State
Enugu State
Enugu State is a mainland state in southeastern Nigeria. Its capital is Enugu, from which the state - created in 1991 from the old Anambra State - derives its name. The principal cities in the state are Enugu, Agbani, Awgu, Udi, Oji, and Nsukka....

 Government protested the planned NCC privatization and demanded the ability to consult with the Federal Government on any planned sale.

While references are made in the news media to a possible sale of the NCC, the Nigerian Bureau of Public Enterprises, the government body tasked with selling public corporations, still lists the NCC as an asset for sale on their website as of April 2008, and no news reports to date provide any information about the supposed sale.

Mines

Historic coalfields that no longer produce coal are in italics, functional mines are in bold.
  • Amansiodo Coal Field, Enugu State
    Enugu State
    Enugu State is a mainland state in southeastern Nigeria. Its capital is Enugu, from which the state - created in 1991 from the old Anambra State - derives its name. The principal cities in the state are Enugu, Agbani, Awgu, Udi, Oji, and Nsukka....

  • Ezinmo Coal Field, Enugu State
    Enugu State
    Enugu State is a mainland state in southeastern Nigeria. Its capital is Enugu, from which the state - created in 1991 from the old Anambra State - derives its name. The principal cities in the state are Enugu, Agbani, Awgu, Udi, Oji, and Nsukka....

  • Inyi Coal Field, Enugu State
    Enugu State
    Enugu State is a mainland state in southeastern Nigeria. Its capital is Enugu, from which the state - created in 1991 from the old Anambra State - derives its name. The principal cities in the state are Enugu, Agbani, Awgu, Udi, Oji, and Nsukka....

  • Obwetti Mine

Obwetti was closed down due to low production in the late 1950s.
  • Ogbete Mine, Enugu State
    Enugu State
    Enugu State is a mainland state in southeastern Nigeria. Its capital is Enugu, from which the state - created in 1991 from the old Anambra State - derives its name. The principal cities in the state are Enugu, Agbani, Awgu, Udi, Oji, and Nsukka....


This mine opened in 1915, but was closed and flooded during the Civil War
Nigerian Civil War
The Nigerian Civil War, also known as the Nigerian-Biafran War, 6 July 1967–15 January 1970, was a political conflict caused by the attempted secession of the southeastern provinces of Nigeria as the self-proclaimed Republic of Biafra...

. It reopened in 1972, and became the country's largest coal mining operation until its closure.
  • Ogboyoga I Coal Field, Kogi State
    Kogi State
    Kogi state is found in the central region of Nigeria. It is popularly called the Confluence State because the confluence of River Niger and River Benue is at its capital, Lokoja, which is the first administrative capital of modern-day Nigeria....

  • Ogboyoga II Coal Field, Kogi State
    Kogi State
    Kogi state is found in the central region of Nigeria. It is popularly called the Confluence State because the confluence of River Niger and River Benue is at its capital, Lokoja, which is the first administrative capital of modern-day Nigeria....

  • Ogwashi-Azagba Lignite Field, Delta State
    Delta State
    Delta State may refer to:*Delta State, a state in southern Nigeria.*Delta State , a Canadian animated television series.*Delta State University, a public university located in the U.S. state of Mississippi....

  • Okaba Coal Field, Kogi State
    Kogi State
    Kogi state is found in the central region of Nigeria. It is popularly called the Confluence State because the confluence of River Niger and River Benue is at its capital, Lokoja, which is the first administrative capital of modern-day Nigeria....

  • Okpara Mine, Anambra State
    Anambra State
    Anambra is a state in south-eastern Nigeria. Its name is an anglicized version of the original 'Oma Mbala', the native name of the Anambra River. The Capital and the Seat of Government is Awka. Onitsha and Nnewi are the biggest commercial and industrial cities, respectively. The state's theme is...

  • Onyeama Mine, Enugu State
    Enugu State
    Enugu State is a mainland state in southeastern Nigeria. Its capital is Enugu, from which the state - created in 1991 from the old Anambra State - derives its name. The principal cities in the state are Enugu, Agbani, Awgu, Udi, Oji, and Nsukka....

  • Oyeama Mine, Anambra State
    Anambra State
    Anambra is a state in south-eastern Nigeria. Its name is an anglicized version of the original 'Oma Mbala', the native name of the Anambra River. The Capital and the Seat of Government is Awka. Onitsha and Nnewi are the biggest commercial and industrial cities, respectively. The state's theme is...

  • Owupka Mine, Benue State
    Benue State
    Benue is a state in the Middle-Belt region of Nigeria with a population of about 2.8 million in 1991. Tiv, Idoma, and Igede are spoken predominantly. There are other ethnic groups as well. These include Etulo and Abakwa...

  • Ribadu Mine

This mine opened in the late 1950s and held enough coal to produce five hundred ton
Ton
The ton is a unit of measure. It has a long history and has acquired a number of meanings and uses over the years. It is used principally as a unit of weight, and as a unit of volume. It can also be used as a measure of energy, for truck classification, or as a colloquial term.It is derived from...

s a day for seven years.
Sources:
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