The new mining code of 2013 is designed to encourage companies to process raw materials inside the sovereign’s borders, rather than just shipping the ore out. The state’s stake in the project is said to shrink as the portion of value added inside the country’s borders increases. Under the code, a shareholders’ agreement will identify decisions that cannot be adopted without prior consultation with the Guinea state
The mining code offers three types of mining titles
- Prospecting Permits
Prospecting permits cannot be transferred, sold or used as collateral. Also, any direct or indirect change in the control of the company owning a mining title should be submitted to the Minister of Mines for approval. Moreover, any acquisition of 5 percent or more of the share of the company should be submitted to the Minister of Mines for approval.
- Exploitation Permit
Exploitation permit can be transferred, sold or used as collateral. Also any direct or indirect change in the control of the company owning a mining title should be submitted to the minister of mines for approval. Moreover, any acquisition of 5 percent of more of the company’s share should be submitted to the minister of mines for approval. Under the new mining code, an industrial exploitation or operating permit will be granted for 15years.
- Mining Concessions
Mining concessions can be transferred, sold or used as collateral. Also any direct or indirect change in the control of the company owning a mining title should be submitted to the Minister of Mines for approval. Moreover, any acquisition of 5 percent or more of the share of the company should be submitted to the Minister of Mines for approval. This approval is materialized by an executive order for mining concessions. A mining concession entitles its holder the exclusive right to conduct any field work exploitation of mineral substances for which the license is issued within its perimeter, without depth limitations. It is granted for large ore deposits that involve important investments and scope of infrastructure as defined by the feasibility study. A mining concession is granted for 25 years and can be renewed for 10 years periods
Prospecting authorizations and quarry search authorisations:
- The applicant files a request along with the documents supporting its technical and financial capacity to undertake the prospecting activities.
- The applicant’s request is assessed by the National Geology Authority.
- Upon a favorable opinion of the National Geology Authority, the applicant’s request is also analysed by the Mining Promotion and Development Centre (MPDC).
- Upon a favorable opinion of the MPDC, the prospecting authorisation is issued by the National Mines Authority or the quarry search authorisation by the decentralised departments of the National Mines Authority.
Exploration permits:
The whole procedure takes approximately one month for an exploration permit. However, the timeline is just an estimate and maybe subject to administrative delay.
- The applicant files a request along with the documents supporting its technical and financial capacity to undertake the exploration activities.
- The applicant’s request is assessed by the Technical Committee of Titles.
- Upon a favourable opinion of the Technical Committee of Titles, the applicant’s request is also analysed by the MPDC. At this point, other technical and environmental assessments of the request may be made by the relevant bodies (ie, the National Mines Authority and the Ministry of Environment).
- Upon a favourable opinion of the MPDC, the exploration permit is granted by order of the minister of mines and geology.
