Raillway Deal Ratification Begings

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ADNews-Monrovia,Liberia: Both houses of the Liberian Legislature have begun committee hearings for the ratification of the Concession and Access Agreement (CAA) between the Government of Liberia and Ivanhoe Liberia, a key step toward opening the Yekepa–Buchanan railway to multiple operators.

In late 2024 and early 2025, the Liberian government ended ArcelorMittal’s long-standing monopoly over the Yekepa–Buchanan railway, paving the way for shared use of the corridor. The Senate’s Committee on Transport and the House of Representatives’ Committee on Concessions and Investments have been designated as the lead committees to review the CAA.

According to the agreement, the CAA would open the Yekepa–Buchanan railway to increased competition among prospective users, creating opportunities for new companies and providing Liberia with significant economic benefits.

Once ratified, the CAA will establish an independently operated, multi-user rail system consistent with President Joseph Nyuma Boakai’s infrastructure development policy. The agreement will also support Ivanhoe Liberia’s planned $1.8 billion investment, designed to spur economic growth in both Liberia and neighboring Guinea.

Advancing the CAA to the committee stage marks a major milestone in the implementation of the Bilateral Implementation Agreement (BIA) between Liberia and Guinea, which was ratified in 2021. The move is seen as a critical step toward developing one of the world’s highest-grade, undeveloped iron ore deposits and promoting regional cooperation and shared economic growth.

Officials say the ratification will also “decouple mining from infrastructure,” aligning with President Boakai’s policy of creating an open-access rail and port model. The reform is expected to provide long-term benefits by allowing multiple users and freight sectors to operate through the national transport corridor.

 

Under the Rail Standard Operating Procedure (RSOP), the Liberian government may grant qualified companies access to the Yekepa–Buchanan railway and the Port of Buchanan. Together, they provide the most efficient export route for Guinea’s Kon Kweni Iron Ore Project, offering a shorter and more cost-effective path to global markets than routes within Guinea. The initiative also strengthens cross-border trade and economic cooperation between the two nations.

Once the CAA is ratified, the agreement will allow the transport of high-grade iron ore from the Kon Kweni deposit in Guinea through Liberia under the existing BIA framework.

The Kon Kweni Iron Ore Project is described as a shovel-ready, world-class deposit with an estimated 751.9 million tonnes of direct shipping ore (DSO), including 209 million tonnes of high-grade ore averaging 67.8% iron (Fe). With a mining convention and permit already secured, Ivanhoe Liberia plans to finalize remaining approvals and begin construction in the first quarter of 2026, pending CAA ratification.

The project’s first phase is expected to create about 500 direct jobs in Liberia and roughly 2,000 jobs at the peak of construction. As operations expand to a capacity of 30 million tonnes per annum, additional employment is anticipated. Company projections indicate that every direct job will generate up to eight indirect jobs across related industries.

Kon Kweni is 85% owned by Ivanhoe Atlantic Inc., while the remaining 15% is held by the Government of Guinea.