Guinea: Simandu

In 2006, IFC bought a 5 percent stake in Rio Tinto’s Simandou iron ore project in Guinea to work with the company on exploring the project’s feasibility and developing it in an environmentally and socially sustainable way. IFC also has the right to participate in four exploration license applications made by Rio Tinto.

The government of Guinea granted the project’s mining concession, located in the Simandou mountain range in eastern Guinea, to Rio Tinto in March 2006. Since then, Rio Tinto has advanced its exploration efforts and accelerated its studies of the various options for developing the iron ore resources within the concession area.

IFC entered the project at an early stage to work with the company on developing the mine to the highest international standards.

IFC is supporting Rio Tinto and the Guinean government in assessing the feasibility and the potential environmental and social impacts of the Simandou project. IFC is also assisting the company on biodiversity, conservation, and community development issues.

With assistance of its new Community Development Fund, IFC and the World Bank – in cooperation with the government of Guinea and the country’s chamber of mines – will conduct a study on community development practices in the mining sector in Guinea.

This study is intended to help tailor and apply best practice community development standards in the specific context of Guinea and its mining-related activities. It will also drive the future development of such standards.

IFC and the World Bank will assist Rio Tinto and the Guinean government in evaluating the most effective railway and port options for exporting the iron ore.

For more information contact:
Houtan Bassiri
Communications Officer
Johannesburg, South Africa
Tel: +27-11-731-3179
Email: [log in to unmask]