The Guinea Bissau transitional government Friday signed an agreement with Russian company Poto for exploration of heavy sands in the north of the country, in Varela, next to the border with Senegal, Portuguese news agency Lusa reported.
The contract was signed by the Guinean minister for Natural Resources, Certório Biote, and by a representative of the Russian company, a private limited company that announced the start of exploration of the reserves estimated at 80,000 tons.
Alongside exploration of the heavy sands, the region in the far north of Guinea Bissau, will benefit from “other projects” such as repairing the road linking São Domingos and Varela, via Suzana, said the Natural Resources Minister.
Schools and hospitals will also be built said Biote, who declined to say how much the Russian company would pay the Guinean state or how profits would be split over the five-year period.
The Poto company, which has been in talks with the Guinean government for over three years and it also plans to explore phosphates in the Farim region, in the northeast of the country. (macauhub)