African Critical Minerals: Ghana Reopens 1.2 Billion Dollar Bauxite Project After Terminating Partnership with Local Partner

• According to Reuters on July 28, Ghana has terminated the lease of Rocksure International company for the Nyinahin bauxite deposit.

• The 1.2 billion dollar project, which is a collaboration with GIADEC company, aims to build a mine and a refinery; the reason for terminating the lease has not been disclosed.

• Authorities may introduce foreign partners, and UAE Global Aluminum Company is one of the companies under consideration.

After the lease held by local developer Rocksure International was terminated, the Nyinahin bauxite deposit in Ghana no longer has a designated operator. Reuters confirmed this information on Monday, July 28, citing three informed sources. These sources added that the local government is currently considering introducing foreign partners to restart the project.

Rocksure was selected in 2021 to form a joint venture with the Ghana Integrated Aluminum Development Company (GIADEC) to develop Nyinahin. The agreement involved a 1.2 billion dollar investment to fund the construction of a mine and a refinery at the site. Rocksure announced that the bauxite resource estimate for 2023 was 376 million tons, but details about the progress of the project have remained scarce so far.

The reason for the termination of the GIADEC and Rocksure agreement has not been disclosed. To date, both parties have not made any public statements. Meanwhile, according to Reuters, several companies are considering acquiring it, including UAE Global Aluminum Company. The latter signed a Memorandum of Understanding with GIADEC last June to reach an agreement on potential cooperation in the bauxite field.

The development of the Nyinahin project is part of a broader plan by Ghana to build a fully integrated local aluminum industry. This strategy particularly relies on increasing the country's bauxite production, aiming to reach 1.7 million tons by 2024.

Sources: ecofinagency

Original: https://www.toutiao.com/article/1839097869535236/

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