The Guinea Bauxite Company (CBG) inked a billion dollar loan deal to increase the production capacity of its Kamsar treatment plant.
CBG’s CEO, Namory Condé, said the increase would initially consist in boosting the plant’s annual bauxite production from 14.5 million tons which it produces presently to 18.5 million tons in 2018. However, the final target is to double this output to 28.5 million tons by 2027.
Mr. Condé refused to disclose the names of lenders involved when asked by Reuters about their identity.
While Halco, a consortium comprising aluminium producer Alcoa, Rio Tinto, second largest miner according to PwC, and DadcoInvestments, detains 51% of CBG, remaining 49% are held by the Guinean government.
Despite Guinea detaining about a third of the world’s bauxite reserves, the ore’s exploitation to make aluminium was hampered by years under the military regime, punctuated by mass uprisings.