The Republic of Liberia and ArcelorMittal have signed an amendment to an existing Mining Development Agreement (MDA), extending it to 2050.
The amendment also includes a right to renew for a further 25 years, and solidifies ArcelorMittal’s long-term mining expansion and commitment to Liberia.
President of Liberia, Joseph Boakai, said: “ArcelorMittal Liberia is one of Liberia’s largest private sector investors and a leading employer in the country. I welcome this Third Agreement to the concession agreement, which will unlock a major expansion of ArcelorMittal Liberia’s operations, with production increasing to 20Mt [per year] and projected to grow to 30Mt.
“The agreement will establish an independently operated railway from October 2030, which will strengthen efficiency, promote multi-user access, and deepen the overall impact of the concession on the national economy.”
This agreement, alongside the recent inauguration of ArcelorMittal’s iron ore concentrator at Takadeh in Nimba County, highlights the growing stature of Liberia as a strategic hub for mineral development in West Africa.
The new concentrator forms the centrepiece of ArcelorMittal’s $1.8 billion expansion project, bringing the company’s total investment in Liberia to $3.5 billion.
Once the expansion project is fully complete, ArcelorMittal expects iron ore shipments to increase from 5Mtpa to 20Mtpa in 2026.
Under the terms of the agreement, ArcelorMittal will pay $200m to the government of Liberia for certain rights, including mining rights extension, and reserved access to railroad capacity that the company is investing in.
