UK Miner Launches Arbitration Case as Nigeria Blocks Access to Multi-Billion-Dollar Lithium Project

Dr Henry Dele Alake
Nigeria's Minister of Solid Minerals Development 

"With London seeking to strengthen supply-chain resilience and deepen economic ties with African partners, the mistreatment of a major British investor in a strategic sector is likely to attract close attention from UK officials." Kefas.

A British mining company has launched international arbitration proceedings against Nigeria after authorities purported to revoke its licences, forcibly escorted company personnel off its legally held tenements, and blocked development of what it says is a multi-billion-dollar lithium and critical minerals project with strategic importance for the UK.

Jupiter Lithium Ltd, a UK-registered company, has filed a Request for Arbitration with the International Centre for Settlement of Investment Disputes (ICSID) based in Washington DC, Paris and Singapore.

Jupiter has spent several years exploring and delineating what it describes as a world-class hard-rock lithium deposit in central Nigeria. According to the company, the resource is large enough to supply all of Britain’s lithium requirements for decades, positioning it as one of the most significant potential contributors to the UK’s emerging battery and electric-vehicle supply chain.

But Jupiter alleges that the Nigerian Federal Government has unlawfully obstructed the project, including by purportedly revoking 70 per cent of its Mining Leases and failing to grant further Leases within the statutory timelines under Nigeria’s Mining Act. The Act requires the Minister of Solid Minerals to issue or refuse a mining title within 45 days; Jupiter says it has been waiting more than two years.

Tensions escalated further in late 2025 when, according to Jupiter, federal authorities forcibly removed its personnel from site and escorted a Chinese-backed mining company onto the tenements to begin operations, despite the Chinese operator holding no legal mining title. The company says it has repeatedly sought dialogue with the administration of President Bola Tinubu, but all attempts to initiate discussions through the Mines Minister and Director General Mining Cadastre Office have failed.

According to individuals familiar with the exchanges, Minister of Solid Minerals Dele Alake at one point asked whether an international court would believe a foreign mining company over the Minister himself, which is seen as signalling the government’s unwillingness to engage in a negotiated resolution.

Jupiter is protected as a foreign investor in Nigeria under the terms of the UK–Nigeria Bilateral Investment Treaty (BIT), which guarantees protections for British investors including fair and equitable treatment, non-discrimination, and safeguards against expropriation. The company alleges multiple breaches of the Treaty and in June 2025 formally notified the Tinubu government of its intention to proceed to international arbitration if Nigeria continued to interfere with its rights to its tenements and refused to engage in discussions to resolve the dispute.

“Jupiter has acted in full compliance with Nigerian law and has made every effort to resolve this matter amicably,” a company representative said. “We have been left with no option but to pursue international arbitration to protect our investment and the rights afforded under the BIT.”

The Nigerian Government has not publicly commented on the dispute. Officials have previously signalled an ambition to increase domestic control over strategic critical minerals and deepen partnerships with new foreign entrants, including Chinese investors, as part of a broader push to accelerate development of the sector.

The Jupiter Critical Minerals Project is, according to the Jupiter website, one of the largest lithium deposits in the world.  With an estimated output of 167, 000 tons of Lithium concentrate in the first two years, Nigeria stands to gain at least $6.2 billion in the first two years. 

The confrontation comes at a critical time for the UK and US, which are both seeking to secure long-term supplies of lithium and other critical minerals essential for battery manufacturing. Britain currently has no commercial-scale domestic lithium production and relies heavily on imports from Australia, Chile, and China.

With London seeking to strengthen supply-chain resilience and deepen economic ties with African partners, the mistreatment of a major British investor in a strategic sector is likely to attract close attention from UK officials.

Meanwhile the US has made it clear it is concerned about the Chinese influence to control Critical Minerals and the processing of Rare Earth Elements which are essential components in defence technologies, smartphones, laptops, electric and hybrid vehicles, wind turbines and flat-screen displays.

Diplomatic observers say the dispute may feature prominently in discussions ahead of President Tinubu’s bid for a second term.

Jupiter says it remains open to a negotiated settlement but continues to prepare for arbitration and committed to arbitration under the Treaty to enforce its rights under the BIT should the stalemate persists.

The writer. Steven Kefas is an investigative journalist, environmental services expert with huge knowledge and interest in the mining sector.