Guinea-based Dynamic Mining SAS has won the Mining Indaba Sustainability Award for its US$90-million Senior Debt facility financed by the African Export-Import Bank (Afreximbank) (www.Afreximbank.com), in partnership with the African Finance Corporation (AFC) and BADEA, to support Guinea to increase its bauxite production to 85,000 kilotonnes.
With a participation of US$40 million by Afreximbank and US$25 million by AFC and BADEA, the facility was recognised at the 2023 Mining Indaba Conference for its community engagement and grievance management initiatives which resulted in the social acceptance of the company and the project.
According to the organisers, the award celebrates the dedication of Dynamic Mining SAS to increasing Guinea’s bauxite output without compromising the ability of the country’s future generations to meet their own needs.
Afreximbank is proud to contribute to such a crucial project for Guinea and the wider region
Dynamic Mining SAS, which holds an exploitation permit and mining concession that gives it exclusive rights to exploit the mine and to construct, operate and maintain the project for 15 years, is expected to deploy the facility to develop surface mining operations to extract six million metric tonnes per annum (mtpa) of direct shipping ore bauxite by 2021 and 10 million mtpa three years thereafter. It is also expected to establish a bauxite processing plant, construct a 50-kilometre haul road and establish a port terminal for mineral exports.
Commenting on the award, Prof. Benedict Oramah, President and Chairman of the Board of Afreximbank, said: “Afreximbank is proud to contribute to such a crucial project for Guinea and the wider region. Our participation of US$40 million, as part of the US$80-million term loan, which was arranged together with our partners at AFC and BADEA, will facilitate the implementation of this critical project to support the beneficiation of natural resources and help increase Guinea’s status as the second largest bauxite producer in the world. We remain committed to playing a vital role in stimulating Africa’s economic growth and we look forward to supporting more such projects in the future.”
The facility is expected to support Guinea’s plan to become a net exporter of bauxite and aluminium, in addition to offering the country the opportunity to play a bigger role in supplying the needed resources for the production of aluminium metal.
It is also expected to help increase Guinea’s foreign exchange earnings. More than 1,000 jobs are projected to be created during the construction phase of the project, with an additional 500 being anticipated at the start of operations.
