Nigeria and the United States have signed a framework agreement aimed at attracting greater U.S. investment into Nigeria’s mining sector, which the Nigerian government estimates could hold mineral resources worth about $700 billion.

The agreement was signed in New York on Sept. 23 by Nigeria’s Minister of Solid Minerals Development, Dele Alake, and U.S. Deputy Secretary of State Christopher Landau, on the sidelines of the 81st United Nations General Assembly.

The framework covers cooperation on geological data, mineral exploration, mineral development and processing, infrastructure and technical capacity building. It is intended to provide a basis for business-to-business transactions and investment partnerships between companies from both countries.

Nigeria is seeking to expand its mining industry as part of efforts to diversify an economy that remains heavily dependent on oil. The country has significant deposits of minerals including lithium, gold, tin, iron ore and other solid minerals.

The agreement also comes as the United States seeks to diversify and strengthen supply chains for critical minerals used in technologies such as electric vehicle batteries and renewable energy infrastructure.

Alake said Nigeria wants to move beyond exporting raw materials by increasing local processing, developing technical skills, creating jobs and expanding opportunities for Nigerian businesses.

The lithium sector is among the areas attracting international attention. Chinese companies have been among the most active foreign investors in Nigeria’s emerging lithium industry, according to Reuters.

For the Nigerian government, the framework is expected to support industrial development and economic diversification. But the agreement itself is a framework rather than a commitment to a specific investment project.

Alake said the next stage would involve identifying viable projects, mobilizing investment and developing commercial partnerships between companies.

The agreement therefore marks the beginning of a process intended to translate Nigeria’s estimated mineral wealth into greater domestic processing and investment, while giving U.S. companies a framework for engaging with the country’s mining sector.