GUINEA’S military government has seized control of 51 mining concessions across the country after revoking their licences due to inactivity and underuse. The decisive move, announced Thursday night by Information Minister Fana Soumah, is part of an ongoing strategy to tighten state control over key mineral assets.
Soumah said the permits—covering bauxite, gold, diamonds, graphite, and iron ore—were annulled under the country’s mining code and returned ‘free of charge’ to the state. The decree authorising the repossessions was signed by interim president Mamady Doumbouya, who took power in a 2021 coup.
‘The concessions have been returned free of charge to the state,’ Soumah confirmed during a national broadcast.
As Reuters reports, the affected permits were issued between 2005 and 2023. Some had already expired, while others remained valid for years or even decades.
Inaction fuels crackdown
Guinea is the world’s top holder of bauxite reserves, a crucial resource in aluminium production, particularly for China and Russia. Conakry has in recent months stepped up enforcement efforts against dormant or slow-moving projects.
‘Government pressure on Guinea’s bauxite industry is building,’ said Tom Price, head of commodities at Panmure Liberum, speaking to Reuters.
‘We suspect Guinea’s government is consolidating the number of foreign bauxite miners and forcing the reformed industry to invest in local downstream processing.’
The country has already cancelled permits held by Kebo Energy SA and Emirates Global Aluminium under similar conditions. A source familiar with Guinea’s mining sector told Reuters that most of the 51 companies involved in the latest decree were “inconsequential players”.
Regional trend of resource control
Guinea’s assertive stance is in line with other military-led governments in West Africa, notably Mali, Burkina Faso, and Niger, where authorities have begun reasserting national control over natural resources since 2020.
The move reflects a growing emphasis on economic sovereignty, increased state revenues, and reducing dependency on foreign mining firms that fail to deliver on development promises.
Officials in Conakry have not yet clarified whether the seized concessions will be reallocated to new investors, auctioned, or managed under a revised state-backed model.
Investor caution rises
While Guinea remains a top destination for mineral investment, the evolving regulatory environment poses new risks. Industry observers say that the abrupt withdrawal of permits—even for inactive sites—may chill investor sentiment without clearer reassurances about long-term stability and transparency.
Still, the government appears determined to restructure its mining sector with an eye on accountability, local beneficiation, and national strategic priorities.
The message from Doumbouya’s administration is increasingly clear: mineral wealth must deliver real value—or be reclaimed.
