Guinea Bissau signs bauxite mining agreement with Angola

17 September 2007

Bissau, Guinea Bissau, 17 Sept – Guinea Bissau and Angola Thursday signed a joint agreement for bauxite mining in the Boé region, in south-eastern Guinea Bissau, near the border with Guinea Conakry, the Guinea Bissau Natural Resources minister said.

On the sidelines of the ceremony, Soares Sambu told the press that a company would be created, adding that the Bauxite Angola company would grant the Guinean government US$13 million once payment terms and deadlines had been agreed.

The Guinean minister added that the company would have three shareholders, including a Guinean state company, with 10 percent, an Angolan state company, with 20 percent, and Bauxite Angola, with the remaining 70 percent.

Sambu noted that last May, Bauxite Angola had signed a memorandum of understanding with Guinea Bissau for bauxite mining in the Boé region and said that the company would sell and mine the mineral and also be authorized to mine for other minerals.

According to the Guinean minister, bauxite reserves in the Boé region are estimated at 110 million tons. (macauhub)