Why is Guinea revoking bauxite mining licence or withdrawing concession? Is this course correction or disruption ahead?
Guinea’s bauxite sector has drawn significant attention in recent years, with production nearing 130-137 million tonnes annually and multiple mining and infrastructure projects underway. Key developments include initiatives by Kebo Energy SA, GAC, and Arrow Minerals, along with the Trans-Guinean railway to streamline ore transport. But the Guinean government has recently moved to withdraw Kebo Energy SA’s mining concession, following EGA’s mining licence cancellation last week.
According to a recent report, Kebo has failed to meet its investment commitments, prompting the Guinean government to revoke the long-standing mining concession. Some sources close to Kebo also confirmed the news, citing shortfall to inadequate funding, including for a planned alumina refinery.
Now, the recent string of license revocations and concession cancellations has raised the question: “Why?” According to sources, these actions are part of a broader strategy aimed at increasing state control over mineral wealth and revenues. Guinea is now seeking to secure more direct benefits from its abundant natural resources, particularly bauxite.
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