Mining licences to be reviewed by Sierra Leone’s new President
Posted by African Press International on March 17, 2008
Freetown (Sierra Leone) In a bid to resolve disputes over licences granted by former governments in Sierra Leone to mine gold, diamond and iron ore, the incumbent president has promised to review the documents by June.
Media reports on Sunday quoted President Ernest Bai Koroma as saying that he has invited experts from the World Bank to conduct the study, which will affect all foreign and local miners operating in the country.
The confusion stems fro the fact two licences were granted for exploration or mining in one location at a time and there were at least three or four such situations.
President Koroma promised that everyone will be given a fair treatment in disputed contracts which have made it almost impossible for new investors to venture into mining in the country.
The main companies to be affected by the review include Argyll Resources which is mining bauxite and both the London Mining Company and the Sierra Leone Development Company that are engaged in mining iron ore.
The two biggest direct investors in Sierra Leone are mining companies — UK-listed Titanium Resources Group, which mines rutile and bauxite, and Koidu Holdings SA, a kimberlite diamond operation owned by Israeli diamond magnate Beny Steinmetz.
Other mining firms operating in the country include Cluff Gold and exploration company West African Diamonds, both listed in London.
Mining accounts for 90 per cent of the country’s exports but benefits from the sector is hardly helping the general population which mostly live below the poverty line.
Published by Korir, API africanpress@getmail.no source.apa
