Liberia: Is There A Revolution Going On In The Mining Sector?

Besides workers complaints, protestations, and the destitute conditions of concession areas-dwellers, as well as the violent crackdowns on protesters by governments, I have seen no progressive initiatives of past governments to convert disadvantages to advantages through progressive and meaningful reforms that bring about. Industrial revolution and deliver wealth to the people of Liberia.

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By D. Wa Hne Jr. (Former Deputy Director General of LIPA for Research and Consultancy)

I have long been concerned about Liberia’s mining sector and its exploration and exploitation that have left no development for the environments in which they operated, ie, Bomi, Bong, and Nimba Counties.

Besides workers complaints, protestations, and the destitute conditions of concession areas-dwellers, as well as the violent crackdowns on protesters by governments, I have seen no progressive initiatives of past governments to convert disadvantages to advantages through progressive and meaningful reforms that bring about. Industrial revolution and deliver wealth to the people of Liberia.

So far, Governments have remained silent and complacent with the little royalties which they received and encouraged the impoverishment of the people. With huge exports of rich raw materials bought from Liberia cheap by investors and brought back to us with expensive price tags after processing and manufacturing, governments failed to awake from their slumber.

Of quite recent, I have noticed a new trend; a direction which seems to bespeak a revolution taking place in the mining sector. From manual handling of concession applications and the use of discretional methods which overshadowed transparency and “First In, First Access in the past, I have observed applicants making use of a new application system by means of a digitalization system now put in place.

Further, I have observed that decentralization of the Ministry has begun, with the Ministry’s first county branch opened in Bentol City with 14 more branches to be opened countrywide that will be managed by mining engineers and geologists serving as County Officer. This is essential to regulate mining activities and facilitate the granting of operational licensing and implementing all safety measures. It will also help to curb illicit mining operations.

There is also legal reform in progress and amendments to the 2000 Mineral and Mining Laws currently in legislative corridors. This might trigger a more responsible and ethical mining practice in Liberia, which aimed at bringing more dividends to Liberians than ever in the history of Liberia. It is hoped that these legal reforms would also stop the illegal mining and smuggling out of the country minerals not stated in concession agreements, but within concession perimeters.

The new Minister of Mines and Energy, R. Matenokay Tingban seems to be running with progressive reforms, which Ministry sources referred to as mining revolution. In order to succeed and build the technical capacity of the Ministry to perform, data updates are, indeed, an imperative.

When I enquired from my source if thought is being given to data updates, I was informed that the Ministry, under Minister Tingban, is strengthening the Mining Cadastre Information Management System. The new Minister has also concluded plans for geo-scientific data generation with Saudi Arabia Ministry of Information and Mines and training for geologists, engineers, hydrological and GIS Techs are also scheduled.

Research shows that the most troublesome informal mining sector is being organized effectively. Minister Tingban has made progress in the design of the artisanal mining framework which formalization is in progress and about 500.artisanal miners have now been licensed nationwide. Training, safer tech, and formalization will reduce illicit networks. These are also in the works.

Most important here is a shift in revenue and governance. Government has now departed from royalty to equity share participation.  As a result, Government is expected to benefit more from minerals exploitation than in the past.

It is expected that the Ministry will continue to pursue all reforms that will bring enormous economic and social benefits to Liberians and produce a super-rich country in practical terms, instead of producing only super-rich investors, while Liberians wail in steep poverty.

Minister Tingban still has enormous task before him. Liberians are saying they want a value addition, which means clauses, should be added in concession agreements for local manufacturing of raw minerals into finished products.

This author is keenly watching for the establishment of the Liberia-owned National Mining Company, a reform proposal of Minister Tingban, which is under-review to ensure a clearer commercial mandate that is separated from regulation.

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