As part of its effort to develop Nigeria's coal mining industry, the federal government is to restructure six coal blocks for bidding.

Minister of Mines and Steel Development, Chief Sarafa Isola said Nigeria has an estimated coal reserve of 2 734 million tonnes. The country's coal has a low sulphur and ash content which is ideal for coal-fired power plants.

The minister added that coal is one of Nigeria's strategic minerals, along with bitumen, barite, limestone, gold, iron-ore, lead and zinc.

Two companies, Western Metals Product Ltd. and Dencar Services Ltd. have already made financial commitments of US$15 million and $10 million respectively for coal mining activities in Nigeria.