Guinea adopts new mining code

12 September 2011 (Last Updated September 12th, 2011 18:30)

Guinea has adopted a new mining code that will double the country's stake in mining projects to 35% and toughen the procedures for acquiring development permits. The new code would give Guinea a free 15% of mining projects and an option to acquire an additional 20%, reports Reuters.

Guinea has adopted a new mining code that will double the country's stake in mining projects to 35% and toughen the procedures for acquiring development permits.

The new code would give Guinea a free 15% of mining projects and an option to acquire an additional 20%, reports Reuters.

The code also toughens procedures for mining firms by requiring them to complete a feasibility study, along with environmental and social impact studies, before seeking a mining permit.

Guinea's mines minister Mohamed Lamine Fofana said in a radio broadcast that the National Transitional Council, the interim parliament, has made these changes in the interests of the country.

Mining companies have protested against these changes, arguing that the code will undercut their profits.