Mining and Energy Head Urges MNG Gold to Prioritize Resuming Operations Instead of Decommissioning

Mining and Energy Head Urges MNG Gold to Prioritize Resuming Operations Instead of Decommissioning.

Since taking office earlier this year as the Minister of Mines and Energy of Liberia, Wilmot Paye has been committed to ensuring that measures are in place to maximize the benefits derived from the country’s mineral resources while meeting international standards where applicable. As a demonstration of this commitment, Minister Paye has been actively engaging with mining concessionaires in Liberia, personally visiting their operational facilities to assess the state of the mineral and mining sector.

In response to concerns raised by Liberians regarding the decision of MNG Gold Liberia, the first industrial mining company in post-war Liberia, to decommission its operations in Kokoya, Bong County, central Liberia, Minister Wilmot Paye has urged the company to reconsider. Instead of decommissioning, he encouraged MNG Gold to explore the possibility of resuming operations after a suspension lasting several months.

During a visit to MNG Gold’s concession area, company officials informed Minister Paye’s delegation that they had ceased active mining in November 2022 due to economic reasons, including lower-than-expected gold availability in the Kokoya area. Despite efforts such as seeking underground mining approval and constructing facilities, they faced challenges in achieving desired gold recovery rates. The prolonged inactivity had led to job losses in the concession area, affecting both local residents and the company itself.

MNG Gold, owned and operated by Turks, showcased its investment interest in Liberia through infrastructure projects such as a modern school campus facility, a clinic, and a market building in David Dean’s Town in Kokoya. However, Minister Paye noted discrepancies in the utilization of these facilities by local residents and urged MNG Gold to ensure better access, particularly to the clinic.

Addressing concerns raised by MNG Gold’s management about encroachment on their concession area by small-scale miners, Minister Paye pledged government support in resolving the issue to avoid conflicts. He also emphasized the importance of continued engagement between the government and mining companies for mutual benefit.

Prior to visiting MNG Gold in Kokoya, Minister Paye inspected the operational facilities of China Union Iron Ore Mining Company in Bong Mines. There, he noted the potential for increased production once new beneficiation facilities are completed and operational. Minister Paye also emphasized the need for English inscriptions on operational equipment and administrative information, and called for increased Liberian representation in the company’s management structure.

Minister Paye’s engagements with mining companies, including ArcelorMittal and Western Cluster Class ‘A’ mining companies, demonstrate the government’s commitment to assessing operational realities and ensuring the sustainable development of Liberia’s mining sector.

Minister Wilmot Paye’s proactive approach to engaging with various mining companies underscores the government’s dedication to fostering responsible and beneficial mining practices in Liberia. Following his meetings with ArcelorMittal and Western Cluster Class ‘A’ mining companies, Minister Paye and his team are poised to continue their engagements with other industry players to comprehensively assess operational realities and address pertinent issues.

By actively participating in site visits and dialogues with mining companies, Minister Paye aims to facilitate constructive collaboration between the government and the mining sector. His efforts to advocate for improved infrastructure access for local communities and to address concerns regarding encroachment on concession areas highlight his commitment to balancing the interests of all stakeholders involved.

Furthermore, Minister Paye’s insistence on English inscriptions on operational equipment and administrative materials at China Union Iron Ore Mining Company reflects his commitment to ensuring transparency and accessibility within the sector. By advocating for increased Liberian representation in the management structures of mining companies, he seeks to promote local participation and empowerment in decision-making processes.

Minister Paye’s engagements with mining companies are part of a broader strategy to promote sustainable development and maximize the benefits derived from Liberia’s natural resources. Through continued dialogue, collaboration, and effective regulation, the government aims to create an enabling environment for responsible mining practices that contribute to the country’s socio-economic growth and development.