This summary covers an application made by ING Bank (Germany) acting as PRI Agent for a group of commercial lenders to cover the commercial debt provided to Guinea Alumina Corporation (GAC or the Project) in the Republic of Guinea. MIGA coverage has been sought for up to US$267 million (including principal and interest) against the risks of Transfer Restriction, Expropriation, War and Civil Disturbance, and Breach of Contract for a tenor of up to 15 years.
The project entails the development of a 12 million tonnes per annum (Mtpa) greenfield bauxite mine with an expected life of mine of 20 years, and associated rail, port and marine infrastructure. The mine site is located in the Boké Prefecture of north western Guinea. approximately 300 km by road north of the national capital of Conakry and approximately 100 km northeast of the port city of Kamsar.
The project is a categorized as A under MIGA’s Policy on Environmental and Social Sustainability. Click here for the Project’s Environmental and Social Review Summary prepared by the International Finance Corporation (IFC), which is potentially also participating in the project.
The Project is expected to have the following development impact: (i) Economic Growth: GDP impact of the Project is estimated at around $350 million annually; (ii) Impact on Stakeholders, including: local employment (an expected 2,000 new direct jobs during construction and 500 direct permanent jobs, and an estimated 26,500 indirect jobs); skills development and training ; and the development of local supply chains and community development; (iii) Revenues to the government, through both taxation and royalties