Reiterated proof of Guinea’s ‘build locally, hire locally, pay locally, or leave’ sentiment through Lindian’s confidence

Where companies fear losing rights and concessions, Lindian Resources, an Australian mining entity, is confident about its safety in the Guinean mining business. But where is this confidence stemming from? The answer lies in three nouns — Lelouma, Gaoual and Woula.

Image for representational purposes only

Lelouma bauxite project, described as a ‘Tier 1’ bauxite project, is a recently secured (April 2025) Lindian Resources’ 100 per cent ownership project. It boasts a JORC-compliant Mineral Resource of 900 million tonnes at 45 per cent aluminium oxide (Al₂O₃) and 2.1 per cent silicon dioxide (SiO₂). The project aims to produce direct shipping ore (DSO), meaning it won’t require extensive processing. It’s strategically located near existing infrastructure, including a railway line and the Kamsar port.

The Gaoual bauxite project, located in the Boké Bauxite Belt in north-western Guinea, contains ‘conglomerate bauxite’, which is the same type of high-quality ore found at the Sangaredi bauxite deposit, mined by Compagnie des Bauxites de Guinée (CBG). Lindian acquired an exclusive option agreement for this project.

Located in North-Western Guinea, the Woula bauxite project is considered a ‘low capex, early production asset’. Lindian has entered into a 10-year lease and operational rights arrangement for Woula with local partners, which will provide them with a passive royalty stream. The project is situated approximately 10km from an existing haul road connecting to the bauxite export terminal of Katougouma, and the lessees are actively working to secure the necessary exploitation license and port access.

“The company continues to maintain strong relationships with the government of Guinea and is progressing its bauxite projects in-country,” said Executive Chairperson Robert Martin in a statement.

One analyst, as cited on Reuters, has forecasted that major bauxite producers in the West African nation are on track to mine more than 200 million tonnes this year - a 35 per cent increase from last year’s record production. “These producers remain unaffected by the licence revocations,” the analyst added, based on production estimates from the major producers.

On a similar note, speaking about the companies which lost their licences, a mining analyst familiar with the situation, who requested anonymity due to the sensitive nature of the issue, stated, “These are just small, underperforming licences. Impact on the market should be negligible.”