The Transitional Military Council in Guinea Conakry announced the withdrawal of 51 mining licenses, which include privileges for the exploitation of bauxite, gold, diamonds, and iron, as part of a campaign aimed at restoring control of the unexploited resources, or those whose authorities consider that their licenses are not used as sufficient, according to the presidential decree issued by the government last Thursday.
In a statement broadcast on official television Thursday evening, the Minister of Information, the government spokesperson for government, said that the head of the transitional phase General Mamadi Dumboy signed a decree to cancel these licenses, stressing that the privileges were returned to the state for free, based on articles of the National Mining Law in which the country has been working for a while.
The move comes at a time when the authorities seek to restructure the metal sector, and to impose greater obligations on companies in order to enhance local investment in manufacturing and transfer.
Guinea is one of the most prominent global producers of the Boxette Machine (the primary raw of aluminum industry), and plays a pivotal role in its provision in global markets, especially in China and Russia, as it provides them with huge quantities.
Fulfillment of obligations
The government had previously withdrawn licenses from two companies, indicating an escalation of pressure on companies operating in the sector.
The government said that the withdrawal of licenses from some companies came as a result of the lack of commitment to the pledges, and the conditions of the investment signed between the parties concerned.
The withdrawal decision includes licenses granted between 2005 and 2023, where some of them ended, while others are still in effect in future decades.
This move reflects an upward trend in West Africa towards strengthening national control of mineral wealth, as is the case in Mali, Niger and Burkina Faso, where military governments have intensified their efforts since 2020 to increase revenues from the metal sector.
The ruling military council led by General Dumboya, who seized power in 2021, seeks to strengthen its presence in the political scene, through interest in the economy and re -control of natural resources, after he decided to hold a constitutional referendum, and to organize legislative and municipal elections before the end of this year.