By Hajaratu S. Bangura
At the Ministry of Information and Civic Education’s weekly press conference held at the Miatta Conference Hall, Youyi Building, government officials and key stakeholders outlined the government’s comprehensive vision and concrete steps for the strategic management and development of the Kasafoni Iron Ore deposits in Diang, Sambaia, and Dansogoia Chiefdoms, signaling a transformative era in the country’s mining sector.
The Minister of Finance, Sheku Fantamadi Bangura, reflected on the historical challenges Sierra Leone has faced in managing its rich mineral wealth, which for decades primarily benefited external parties rather than the nation itself.
He highlighted a pivotal moment in 2019 when, with World Bank support, the government undertook a geophysical survey that revealed mineral resources far surpassing prior estimates, correcting decades of underinvestment in geological research. This data, now securely held by the Ministry of Mines, underscores the breadth of the nation’s mineral potential, including precious minerals like diamonds and gold, bulk minerals such as bauxite and rutile and critical minerals like lithium, vital for global renewable energy technologies.
The Minister openly addressed past management failures, noting that since the early 1980s, mining leases granted to individual investors (often modeled on flawed agreements like those with Sierra Rutile) resulted in disproportionate benefits enhancing the private actors, with only a fraction of mining revenues received by the state.
He disclosed that although the mining sector generated exports worth around $4 billion over six years, only about 5% of that sum entered the government treasury, an unsustainable situation limiting the country’s ability to fund national development, especially amid reduced external aid.
In response, the government has introduced a groundbreaking structural reform through the Sierra Leone Mines and Mineral Development Management Corporation (SLMMDMC), created as a fully state-owned commercial entity capable of partnering with private investors to actively participate in mining operations. Recognizing the capital-intensive nature of mining and the country’s current indebtedness constraints that restrict government borrowing under IMF and World Bank limits, the administration adopted a “non-recourse” financing approach, which covers the national budget from direct exposure.
Central to this model is the Mineral Wealth Fund, established as a financial vehicle to pool mineral assets, attract capital from international investors and reinvest mining proceeds into critical infrastructure and social services.
The Kasafoni Tonkolili North iron ore deposit, previously unused and unlicensed, was designated as the Fund’s first asset. Following thorough, bankable feasibility studies by SRK Exploration in Cardiff UK, the deposit is now positioned for development, dependent upon securing community land leases and environmental clearances, processes already underway.
Minister Bangura stressed that Kasafoni remains legally unencumbered and expressly reserved “for the people and the country” under President Bio’s directive. However, he expressed concern about misinformation and unauthorized land deals that have caused reputational damage and delayed progress. He denounced such actions as detrimental political moves undermining national development interests and called on the media to report responsibly to avoid scaring away crucial international investors. Emphasizing national unity, he reminded the nation that “no single individual can build the country alone.”
Reinforcing this message, Hon. Saa Emmerson Lamina, Chairman of the Parliamentary Committee on Mines and Mineral Resources, emphasized Parliament’s constitutional mandate to safeguard the nation’s mineral resources. Citing specific constitutional provisions, he detailed how recent reforms under President Bio have secured community consent rights and increased direct benefits to landowners, raising surface rent payments from 50% to 70%.
He highlighted the SLMMDMC Act’s empowerment of the state to engage commercially and assured that any mining lease agreements in Kasafoni not sanctioned by the corporation are null and void. Parliament has clearly distinguished no-go zones around critical infrastructure to protect national interests and prevent unauthorized dealings.
From a community perspective, Aminata Deen Conteh, National Coordinator of the Women’s Network for Community Development in Sierra Leone’s North-East Region, welcomed the Kasafoni Agreement with careful optimism. While lamenting the initial exclusion of women and grassroots stakeholders from the consultation process, she praised the government’s inclusive and trusted approach led by multiple cabinet ministers. She also highlighted anticipated social benefits such as improved educational facilities enabling local students to sit national exams closer to home, enhanced security due to Sierra Leonean ownership of the mining company and the establishment of health centers to reduce travel burdens for emergency care. She affirmed broad community trust in the government’s commitment to integrity and sustainability.
Farid Alghali, Chief Executive Officer of the Mineral Wealth Fund, recounted his recent visit to Tonkolili North, describing the difficult conditions faced by communities despite the rich iron ore deposits beneath their feet. Reflecting on the responsibility bestowed upon him, he pledged transparent and equitable management aimed at benefiting both the local people and the nation. He announced that a credible international partner has been secured to invest hundreds of millions of dollars in vital infrastructure, including a new railway, port facilities, mining operations infrastructure and conveyor systems, aiming to export the first shipment of iron ore by November 2026. Rejecting the previous exploitative model where private investors retained up to 97% of revenues, Alghali emphasized a new joint venture framework where the Mineral Wealth Fund will contribute land, licenses and concession rights, while the partner provides capital and expertise, sharing proceeds fairly to ensure the state and its citizens receive just returns. He acknowledged the significant challenges ahead but expressed firm resolve to ensure that the Mineral Wealth Fund becomes a successful model of state participation in mining. Through this initiative, the government aspires not only to generate revenue but to reclaim control over its mineral resources as an engine for broad-based social and economic development.
Together, these presentations shed light on a decisive turning point for the country’s mining sector,one characterized by stronger governance, deeper community engagement, more equitable wealth distribution and a clear commitment to legal compliance and sustainable development. The Kasafoni Iron Ore project stands as a flagship of this new era, promising to contribute substantially to the country’s prosperity while ensuring the rights and benefits of its people remain paramount. The government has assured that it remains committed to transparency and will continue to provide regular updates as the SLMMDMC and its partners advance the Kasafoni project and other mineral assets vital to the country’s future.
