Another coup in another African country is hardly news. That the coup will affect mining in that country, Guinea, is hardly news. Another group of powerful seeking to exact their share of the resources, and it is inevitable that we will have to go through the dreary litany of review of permits, renegotiation of licences, and various and subsidiary bribes distributed by legal means.
Here is a summary of the basics of the country from the CIA Handbook:
Guinea possesses major mineral, hydropower, and agricultural resources, yet remains an underdeveloped nation. The country has almost half of the world’s bauxite reserves and is the second-largest bauxite producer. The mining sector accounts for over 70% of exports. Long-run improvements in government fiscal arrangements, literacy, and the legal framework are needed if the country is to move out of poverty. Investor confidence has been sapped by rampant corruption, a lack of electricity and other infrastructure, a lack of skilled workers, and the political uncertainty due to the failing health of President Lansana CONTE.
The president has died and a group of military officers has taken over: a new round in the African tragedy unfolds. The interesting New Year issue is the opportunities and obligations of the mining industry and miners in this equation.
I notice that there are seven jobs in mining listed on CareerMine (this list changes regularly, so the numbers may be different when you access it.) An “international company” with an open pit gold mine is seeking a fly-in-fly-out Boilermaker Supervisor. A mine with a annual production rate target of 380,000 to 420,000 ounces is seeking a Heavy Equipment Supervisor for a nine-weeks-on, three-weeks-off position.
A company that pays in US dollars is seeking geologists to work in Guinea. I am not sure of the implications, or legalities, but the Geology Manager is offered a Married Status contract, whereas the other geology positions come with a Single Status contract. So much for family values. Or is it a reflection of the costs of security for spouses and partners?
The InfoMine list of mining companies in Guinea includes:
The old president who died, opening the way for the coup, had been in power for 24 years. It is diffcult to believe that these companies has not cultivated a cordial relationship with the old dictator. It is even harder to believe that these companies had not become somewhat inculpated in the terrible conditions that prevail in Guinea.
Nobody expects mining companies to set the moral standards for African countries. That is an impossible task in a place where the corruptions of tribe and history prevail and the excuse of colonialism still exculpates the wicked.
But surely we can ask that in this New Year, these mining companies shoulder some responsibility for a country that represents the worst of a bad bunch. OK, I can hear my argumentative daughters telling me that I cannot expect them to divest themselves of the hard-gotten gains, to expect them to walk away from valuable mineral deposits, or to leave the married and the unmarried geologists to work for another military despot.
The moral and ethical can refuse to invest in mining companies in Guinea. But even my Vancouver liberal lady friend is happy to receive income ultimately derived from Rio Tinto and she would shudder at any reduction in income resulting from failure by Rio Tinto to keep mining where the ores are and the profits generated.
So in a sense, we are all involved and I am justified in asking if in a New Year we cannot find a way to improve things in these far away places like this where change is theoretically possible. Maybe a bold move such as a concerted delegation of the ICMM making a statement, visiting the newly powerful, setting new rules of engagement and operation, and ultimately earning the moral approbation of the world would be a start.
We will watch with interest. Meanwhile, successful New Year to all.
