Sheraton Grand Conakry Hotel,
Conakry, Republic of Guinea
GUINEA WORLD CLASS MINERAL RESOURCES & AFRICA’S MOST ATTRACTIVE COUNTRY FOR MINING INVESTMENT
In the Fraser Institute Report 2019, the Republic of Guinea was named as the most attractive Africa mining destination for investment. On a global level, Guinea is now ranked 20th in the world, a rise of 83 places from 2015 when it was in top ten least attractive mining destinations worldwide (103rd place).
- Mining is Guinea’s leading economic sector and responsible for around 13% of its GDP
- Investment committed in projects more than 10 billion dollars from 2011 to 2019, including nearly 4 billion dollars already invested, against less than 5 billion between 1958 and 2010.
During the last decade, the major reforms that the Guinea government has put in place to achieve sustainability and shared interest include:
- The adoption of a Mining Code incentives in 2011 and amended in 2013.
- The modernization and putting online of the mining cadastre.
- Compliance with the Extractive Industries Transparency Initiative (EITI) with the online publication of all the Agreements signed with mining companies.
- The establishment of the National Local Development Fund (15% of mining revenues and the contribution of mining companies to local development (0.5 or 1% of turnover).
- In December 2019, the first contributions were received from mining companies into the Fund of Local Economic Development (FODEL) and distributed by the authorities.
UNIQUE POTENTIAL, WORLD CLASS DEPOSITS
- 64 million tonnes exported in 2019, in comparison to an approximate export volume of 56 million tonnes in 2018.
- Guinea is the 3rd largest producer of bauxite in the world
- The country is strongly promoting that mining companies refine their bauxite output locally. Guinea currently has a power production capacity of just 658 megawatts. Several projects in the pipeline will significantly boost output soon. By 2025 the plan is to have around 2,600 megawatts in terms of total production
- Six new refinery projects are in process currently in the Republic of Guinea and a new project for an aluminium foundry. The Friguia Alumina refinery has been refurbished and has been back in operation for over a year now.
- A deal has been signed to develop block 1 & 2 of the Simandou iron ore deposit. An investment of USD$14 billion will be needed to build a 650 km railway and deep-water port
- Guinea and Liberia have signed a deal to export iron ore through Liberia from the giant Nimba iron ore project. The Zogota iron ore project has already been granted permission to export its resources through Liberia.
- All the Guinean gold mines are open pit exploitation
- The Birimian gold belt still has to unlock its full potential
- Gold remains a safe haven for long term investors
- Skilled labour available
- Two types of deposits: Primary and Secondary
- The primary deposits: Kimberlite ( good prospect for discovery)
- Secondary deposits: source of the actual Guinean production
- Guinea has recently signed several permits for new gold licenses as well as relinquished mines such as Kiniero.
- To successfully diversify mining production, the State has finalized a geophysical mapping project at 1: 100,000, in order to obtain better knowledge about the potential of base metals (Copper, Chromium, Cobalt, Zinc, Lead, Nickel, etc.), uranium, black sand, rare earths etc.
- Lola graphite property is focused on producing graphite for several different markets with about 35 percent of its production earmarked for the lithium-ion battery market