NATIONAL NEWS
MONROVIA — The Honorable House of Representatives has mandated its Committees on Concessions & Investment; Mines, Energy, Natural Resources and Environment; and Judiciary to review Amendment No. 3 to the Mineral Development Agreement (MDA) between the Government of the Republic of Liberia and ArcelorMittal.
The decision was taken on Tuesday during the first day sitting of the House’s Third Session, following a formal communication from President H.E. Joseph N. Boakai, Sr., who submitted the amended agreement for legislative scrutiny and eventual ratification.
By: Trokon S. Wrepue – trokon1992seokin@gmail.com
The Third Amendment concerns the MDA between the Government of Liberia and ArcelorMittal Holdings AG, ArcelorMittal USA Liberia Holdings LLC, and ArcelorMittal Liberia Limited, the latter serving as the operating company.
In his message to lawmakers, President Boakai recalled that the original MDA was signed on August 17, 2005, ratified by the Legislature, signed into law, and published into handbills. He noted that the agreement was previously amended on December 28, 2006, and January 23, 2013.
According to the President, following extensive negotiations and consultations, the parties agreed to further amend key provisions of the agreement.
The Third Amendment, signed on December 20, 2025, restates the MDA in its entirety, consolidating all previous amendments into a single, fully revised document.
President Boakai outlined several key features and strategic benefits of the amended agreement. Chief among them is the introduction of new Railroad System Operating Principles (RSOP), granting the Government of Liberia the right to establish a multi-user rail regime that ensures non-discriminatory access to the Yekepa–Buchanan railway corridor.
The framework also provides for a transition to an independent, government-regulated rail authority by 2030, consistent with Liberia’s long-term national rail vision.
The amendment further extends the duration of the MDA to December 20, 2050, with an option for renewal, while committing ArcelorMittal Liberia to significantly expand production capacity—from 15 million wet metric tons per annum (MWMTPA) by 2027, to 20 MWMTPA by 2031, and up to 30 MWMTPA thereafter.
Upon ratification, ArcelorMittal Liberia is expected to make an upfront payment of US$200 million to the Government of Liberia. Additionally, the annual mining license fee will increase tenfold, from US$50,000 to US$500,000.
The agreement also strengthens community development obligations. ArcelorMittal Liberia will contribute US$5 million annually to a Community Development Fund (CDF) to support socioeconomic initiatives in concession-affected areas.
The company is required to implement a Social Infrastructure Plan covering Nimba, Bong, and Grand Bassa Counties, including major road and bridge rehabilitation projects, the establishment of a Vocational Training Center in Buchanan, and continued investments in housing, education, and employment programs.
Delays in implementation will attract penalties ranging from US$250,000 to US$500,000 annually.
On employment, the amendment guarantees increased participation of qualified Liberians across all levels, including 50 percent of management positions by the third anniversary, rising to 90 percent by the tenth anniversary, in line with Liberia’s Labor Practices Law.
The agreement also prioritizes local procurement, workforce training, and skills development, alongside an annual US$500,000 contribution toward education and training programs.
President Boakai emphasized that the Third Amendment represents a major step forward in economic growth, infrastructure modernization, and community empowerment, and aligns with the Government’s ARREST Agenda for Inclusive Development.
He urged lawmakers to give the agreement favorable consideration and proceed with its ratification following committee review.
