— Amid Review of Landmark Agreement
IPNEWS-Monrovia: Amid review of the Landmark Agreement recently submitted to the Legislature by President George Weah to extend the concession of Indian giant-steel company, ArcelorMittal, the Plenary of the Senate has set up a specialized committee to conduct a fact-finding mission at the operational areas of the company as its sets to review the amended Mineral Development Agreement it signed with the Government of Liberia.
The six-member committee include the Chairman of the Senate committee on Executive, Senator Saah H. Joseph (Montserrado) as Chairman, Senators Jeremiah Koung (Nimba County) and Abraham Darius Dillon of (Montserrado County). Others members on the fact-finding committee are Senators Jonathan Boye Charles Sogbe (River Gee County) Augustine Chea (Sinoe County) and Boto Kanneh of Gbarpolu County.
The Senateβs decision to constitute the specialized committee followed the submission of ArcelorMittal deal for extension to the Senate on Thursday by President Weah.
The Agreement was forwarded to the Senateβs Joint Committee on Lands, Mines, Energy and Natural Resources; Concession and Investment; Ways, Means, Finance and Budget, and Judiciary were mandated by Plenary to review and scrutinize the proposed agreement for further actions.
Mount Nimba in the background where ArcelorMittal operates
The Specialized committee is mandated by Plenary to visit the operational areas of the world steel giant to ascertain the impact of the companyβs operations on the affected residents and communities.
The committeeβs assessment will put members of the Senate in the position to make an informed decision on the proposed amendment.
The company currently operates in Nimba, Grand Bassa and Bong counties.
The three affected counties receive an annual amount of US$3 million, with Nimba receiving an amount of US$1.5 million, Grand Bassa US$ 1millionΒ and Bong US$ 500,000.
The Company in 2016 signed a 25-year Mineral Development Agreement (MDA) with the Liberian Government. The company recently negotiated with the Executive for an extension of the deal amounting to US$800 million, which is currently before the Legislature for actions.
In the communication accompanying the agreement, President Weah reiterated that under the third amendment, ArcelorMittal will among other things, make US$800 million investment in Liberia, which will provide the Government US$55 million within 19 months of ratification,
βIt will develop the Yekepa-Buchanan corridor, creating much needy jobs and training for Liberians, as well as direct foreign investment toward Liberian infrastructures,β President Weah stated.
In September this year, the Government, represented by President Weah and the companyβs Chairman and CEO, Indian-born billionaire Lakshmi Mittal signed an amendment to the MDA which paves the way for the expansion of the Companyβs mining and logistics operations in Liberia.
If the MDA amendment takes effect following the ratification by the Legislature, it is anticipated that ArcelorMittal Liberia will significantly ramp up production of premium iron ore; generating significant new jobs and wider economic benefits for Liberia.
The Senate Specialized Committeeβs visit will mark the second tour in three months of the companyβs concession area by members of the 54th Legislature.
It can recalled in late September this year, Nimba County Senator Jeremiah Koung led members of the Nimba Legislative Caucus to the companyβs concession areas in the county.
Senator Koung and his colleagues expressed outmost dissatisfaction over what they termed as the companyβs failure to live up to the existing concession agreement.
