Guinea has commenced the process to revoke Emirates Global Aluminium’s (EGA) mining licence in the country, reported Reuters, citing two people familiar with the matter.
This action intensifies an ongoing dispute between EGA and the Guinean Government concerning customs duties that began in October 2024, and follows a suspension of the company’s bauxite exports and mining activities.
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EGA is jointly owned by Mubadala, a sovereign wealth fund based in Abu Dhabi, and the Investment Corporation of Dubai.
The company, which commenced operations in Guinea in 2019, operates through its subsidiary Guinea Alumina Corporation (GAC), which is responsible for one of the largest bauxite mines in the country.
Guinea is the world’s second-largest bauxite producer, trailing only Australia.
EGA’s operations in the country encompass a 690km² concession area, which contains an estimated 400 million tonnes (mt) of bauxite mineral resources. The company exported approximately 14mt of bauxite in 2022.
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By GlobalDataThe suspension of EGA’s Guinean operations has led to a noticeable decline in exports, which dropped from 14.1 million wet metric tonnes in 2023 to 10.8 million wet metric tonnes in 2024.
The Guinean Government had issued a notification to EGA regarding the licence withdrawal.
A senior government official, who chose to remain anonymous, confirmed to Reuters: “We have initiated the withdrawal of GAC’s mining licence. A notification has been sent to this effect.”
In response to the situation, EGA stated that it will continue to “work hard to find a resolution with the government to resume our operations”, the report said.
The move to suspend EGA’s licence reflects broader efforts by resource-rich countries in the region to assert control over their mineral resources.
Countries such as Guinea, Mali, Niger and Burkina Faso, led by military governments, have been actively revising mining laws and contracts.
They have also been known to detain mining executives, halt operations and confiscate products in a bid for greater control.
