Mining Plot Thickens: Guinea Rejects RUSAL Proposal to Dig Dian-Dian Slowly, Keep Bauxite in Ground
John Helmer, author of the article on Guinean mining featured in a post on this blog yesterday, has learned additional information about RUSAL negotiations with the Guinean government concerning the Dian-Dian site. Helmer has written a second article about this aspect — a few excerpts of which appear below followed by a link to the full article.
The Guineans say they insist that Rusal stick to their agreement and build the alumina refinery, as was agreed in 2006. If not, they say there are rival aluminium companies who will do so, and also agree to share with the Guinean treasury the tenfold gain in revenue from alumina exports. Deripaska, according to a Washington-based source, “is well known to have made his career at taking, not sharing.”Another source says: “This is a waste of a major bauxite resource that could feed multiple refineries while exporting as much bauxite as CBG, thus transforming the country’s revenue profile. They are telling Guinea they will operate Dian-Dian at less than 10% of capacity so no one else can have it. They were laughed out of the room.”