Source: Africa Publicity
Guinea’s transitional government is holding discussions with Emirates Global Aluminium (EGA) on a potential bauxite supply agreement that could re-establish commercial ties following last year’s licence withdrawal from EGA’s local unit, according to people familiar with the matter.
Talks Aim to Defuse Legal Dispute
The proposed arrangement would see EGA source bauxite from Nimba Mining, the state-owned company that took over the assets of Guinea Alumina Corporation (GAC) after its operating permit was revoked in July. Sources say the negotiations are intended to avoid arbitration or court action that EGA has previously signalled it may pursue over the seizure of GAC’s assets.
“Discussions are progressing positively, with the objective of steering clear of litigation,” a government official said. All sources requested anonymity due to the sensitivity of the talks.
Background to the Dispute
Guinea cancelled GAC’s licence following a prolonged disagreement over the construction of an alumina refinery, a requirement under the country’s mining code. GAC, majority-owned by EGA, had invested more than $1 billion in Guinea and at peak capacity exported about 14 million metric tons of bauxite per year.
After the revocation, Guinea transferred GAC’s mining assets to Nimba Mining. Nimba said it was not directly involved in the current discussions and had no details to share. Guinea’s mines ministry did not immediately respond to requests for comment, while EGA declined to comment.
EGA’s Supply Challenge
EGA—jointly owned by Abu Dhabi’s Mubadala and Dubai’s Investment Corporation—is the world’s largest producer of premium aluminium. Its alumina refinery in the United Arab Emirates is configured for Guinean ore, making continued access to similar-grade bauxite strategically important. Since the licence withdrawal, EGA has been seeking alternative sources to replace Guinean supply.
Guinea Tightens Grip on Mining
Guinea is the world’s second-largest bauxite exporter and holds the largest known reserves globally. The military-led government has joined regional peers such as Niger, Burkina Faso and Mali in pushing for greater state control of natural resources to increase public revenues.
Nimba Mining’s Operations and Plans
Nimba Mining began exporting bauxite stockpiled by GAC in late October, totaling 1.5 million tons. As of this week, 680,000 tons have been shipped, according to managing director Patrice L’Huillier. The company plans to restart mining operations this month, targeting exports of 10 million tons in 2026 and a longer-term ramp-up to 14 million tons annually.
The licence area contains an estimated 470 million tons of reserves. In line with government policy, Nimba has also launched a tender for a 1.2 million-ton-per-year alumina refinery.
Global Interest Remains Strong
Guinea’s bauxite sector continues to attract substantial foreign investment from major miners including Rio Tinto, China’s Société Minière de Boké, and Russia’s Rusal, underscoring the country’s central role in the global aluminium supply chain.
