Guinea possesses the world's largest bauxite reserves, attracting business executives to the West African nation in pursuit of opportuni...
Guinea possesses the world's largest bauxite reserves, attracting business executives to the West African nation in pursuit of opportunities. However, an iron ore deposit containing approximately 3 billion tons in Simandou, located in the southern highlands, has remained untapped for a long time.Last week, Guinean authorities stated that the deposit represents a new beginning for the nation, allowing them 15 years to fully benefit from the mining operations. These deposits are now part of the broader Simandou Project, which encompasses the mines, a railway system, and a deep-sea port.
The initiative was officially launched on November 12, as Guinea's President Mamady Doumbouya welcomed Rwandan President Paul Kagame and Gabon's Brice Nguema in Forécariah, a coastal town located approximately 70 kilometers east of the capital, Conakry. The three leaders jointly inaugurated the iron ore export port and railway system. The processing facility is currently still under development.
Doumbouya and his administration took the opportunity to point out previous shortcomings, mentioning that the project had been pledged to Guineans in the past but never carried out."Guinea will demonstrate that Africa can escape the resource curse," stated Djiba Diakité, Doumbouya's spokesperson and head of the Simandou 2040 Strategic Committee, which is responsible for the plan to utilize minerals for the country's advantage.
A World Bank evaluation suggested that Guinea's $24 billion economy could increase by as much as 30 percent if its iron ore reserves are handled effectively.
However, Conakry does not have sufficient funds, and the nation is also experiencing a political transition. Doumbouya took control in a 2021 coup and has planned elections for December 27 to return to civilian governance.
Guinea's prime minister declares elections for December 2025. "Simandou was promised to Guineans for six decades. They wanted to witness its development because they were fed up with tales," stated Mamoudou Barry, head of the governing board of the Trans-Guinean Company (CTG), which will manage and run the 650 km double railway line, the port, and an iron ore processing plant to handle a portion of the ore locally.
Conakry sought assistance from China and other allies, although Beijing is handling the majority of the work. The initiative has consumed almost the nation's GDP, with expenses reaching approximately $20 billion. Authorities mention assurances regarding improved investment returns."The Chinese source materials from all over the world, not only Guinea. However, when they entered, they provided two key elements: financial support and a buyer. We have the world's leading iron ore purchaser owning shares in our project. Thus, we are certain about where we will sell our product," Barry stated.
Three groups split the primary sections but had to work together on constructing shared facilities to reduce ecological impact. Chinese companies Baowu and Chinalco, along with the British-Australian mining company Rio Tinto, will oversee the combined project, while the Guinean government holds a 15 percent non-participating share.
Barry mentioned that the players' practical approach resulted in the addition of a local factory, which was not part of the original plans. "They were willing to invest so heavily in Guinea because when we began, the project's capital was equivalent to the country's GDP. No one could have imagined this," he remarked.
The railway will change Guinea's export structure, spanning 650km on double tracks—totaling 1,300km—passing through nine cities starting from Beyla in the east to Forécariah in the southwest near Conakry. It has the capacity to transport up to 160 million tons of cargo each year, which could help farmers and nearby landlocked nations.
The new port has the capacity to export 120 million tons of iron ore each year, positioning it among Africa's top mining ports. In the past, individual companies managed to export less than 10 million tons per year.
Authorities state that the project has already generated 50,000 jobs within three years and may create an additional 30,000 once it is fully running. However, they recognize the political issues related to natural resources in Guinea."Guinea is being highlighted today because of Simandou. The country's stability is definitely crucial," said Ismael Nabé, Minister for National Planning and International Cooperation.
Doumbouya, he mentioned, established his government to provide representation from all four national regions. "In the next 15 years, Guinea will develop its mines and utilize them to boost other parts of the economy. In Australia, there is a mining area that is also agriculturally productive. We can do the same. Imagine, we have 13 million hectares of arable land and are known as the water reservoir of West Africa. The sources of the Niger, Senegal, and Gambia rivers are all here," Nabé stated. "All these resources are important, but stability is even more crucial. Guinea is ready to learn from the best globally. We must ensure every Guinean receives a fair share."Read: Minerals: The magnet driving China's pursuit in AfricaNabé emphasized that Guinea's challenge is economic rather than political."If a young man wakes up at 7am to go to work and comes back at 6pm, he won't have time to throw stones in the streets. This country needs stability for the region."On December 27, Guineans will vote on whether to give Doumbouya civilian authority. He has gathered supporters under a "people power" slogan, promising a more inclusive government and opportunities for the youth.
The vote will determine if Guinea can escape the contentious group of West African nations under military governance since 2021: Guinea, Mali, Burkina Faso, and Niger.
Meanwhile, Conakry claims it may provide its neighbors with a pathway to economic stability. Provided by SyndiGate Media Inc. (Syndigate.info).
