By Enyichukwu Enemanna
Guinea has cancelled a mining concession issued to a firm over its failure to deliver on promised investments, authorities said in a statement broadcast on state television.
The West African country had granted Kebo Energy SA a bauxite licence, but the firm failed to meet some of the agreed terms. Bauxite is a mineral deposit that is refined into alumina, then smelted into aluminium. Guinea is one of the world’s largest producers of the mineral resource.
The licence cancellation was announced late on Friday, with state television citing a decree issued by junta leader Mamady Doumbouya, who seized power in a coup in 2021.
A senior Guinean mining official also confirmed the cancellation of the concession.
A source close to Kebo Energy SA said the company was unable to raise sufficient funding for the project, which included building an alumina refinery.
Doumbouya had instructed his government to withdraw permits and concessions from mining companies that do not respect their legal commitments to the country.
The head of state has “reiterated that compliance with contractual commitments and deadlines is non-negotiable,” Minister of Information and Communication Fana Soumah said late Thursday on state broadcaster Radio Télévision Guinéenne.
Bloomberg had last week reported that Guinea plans to cancel a bauxite mining licence held by a unit of Emirates Global Aluminium over its failure to construct an alumina refinery.
