IPNEWS: While ArcelorMittal Liberia continues to invest in Liberia’s mining sector, Guinea’s High-Power Exploration (HPX) is attempting to force Liberia to grant it rail access on unfair terms.
HPX, a Guinean iron ore company, is demanding access to Liberia’s Yekepa-Buchanan rail and port infrastructure without investing in their development.
This raises critical concerns about Liberia’s sovereignty, infrastructure control, and economic benefits. The government must ensure that any decision on rail access prioritizes Liberia’s long-term interests, rather than serving the needs of foreign competitors.
Unlike AML, which has spent billions developing Liberia’s infrastructure, HPX has no comparable investment record.
Liberia’s mining laws require that infrastructure development be undertaken by investing companies.
AML rehabilitated the Yekepa-Buchanan rail at its own expense, and under its agreement with the Liberian government, AML has the right to oversee any third-party use of this infrastructure.
HPX is demanding that the Liberian government remove AML as the rail operator and place it under a government-controlled entity, which is unprecedented in global mining agreements.
If HPX’s demands are met, Liberia will face the following consequences:
- Loss of tax revenue and royalties, as Guinea, not Liberia, will reap most of the benefits.
- Reduction in rail capacity for Liberia’s iron ore, limiting AML’s expansion and any future Liberian mining projects.
- Loss of investor confidence, as potential investors will view Liberia as a country that changes investment rules arbitrarily.
In comparison, Guinea has never allowed Liberian companies to use its rail infrastructure for over 40 years—so why should Liberia prioritize Guinean companies now?
The government of Liberia must uphold fair business practices and protect Liberia’s national interests.
HPX’s demands undermine Liberia’s economic sovereignty, placing foreign interests above national growth. The government should stand firm on ensuring AML’s continued role as a responsible investor and rail operator.
