Tuesday, 26th August 2025
Key Highlights
By: Zacharia Jalloh, Ministry of Information and Civic Education
The Government of Sierra Leone, through the Ministry of Information and Civic Education, held its weekly press conference on Tuesday, 26th August 2025. This edition highlighted the government’s renewed participation in the mining sector, particularly through the establishment of the Sierra Leone Mines and Mineral Development and Management Corporation (SLMMDC) and the Mineral Wealth Fund. Senior officials outlined reforms, legal frameworks, and partnerships designed to ensure Sierra Leone’s natural resources directly benefit its citizens and drive national development. The following are the key highlights:
Government Signs Land Lease Agreements in Kasafoni Iron Ore Deposits
Deputy Minister of Information and Civic Education, Bocakarie Abdel-Aziz Bawoh, informed the public about a high-level government delegation led by the Minister of Finance, Sheku Fantamadi Bangura, which visited three chiefdoms in Tonkolili and Koinadugu Districts, Diang, Sambaia, and Dansogoia. The delegation signed Land Lease Agreements with landowners of the Kasafoni Iron Ore Deposits, marking a significant step in government’s vision to participate meaningfully in the mining sector. Deputy Minister Bawoh emphasized that the Sierra Leone Mines and Mineral Development and Management Corporation (SLMMDC) will manage these concessions on behalf of the government, citing similar models in Namibia, Botswana, Ghana, and Nigeria.
Past Mining Practices and Challenges
Minister of Finance, Sheku Fantamadi Bangura, reflected on the country’s historic challenges in managing the mining sector. Since the 1980s, Sierra Leone’s model has granted licenses to private companies, while the government has relied only on taxes and royalties. Between 2018 and 2024, Sierra Leone mobilised approximately $4 billion, yet only 5% of the funds reached the national treasury. In 2024 alone, mineral exports valued at $1.5 billion generated just $16 million in government revenue. The Minister described this as an unsustainable arrangement that failed to foster national development.
New Mining Framework and Government Participation
Minister Bangura explained that, guided by President Dr. Julius Maada Bio, the government designed a new framework for national participation in mining under the Mines and Mineral Development Act 2022. The Act grants government 10% free carriage undiluted interest in all large-scale mining ventures and up to 35% equity stake in joint ventures. To implement this, the Sierra Leone Mines and Mineral Development and Management Corporation was established, supported by a private sector vehicle, the Mineral Wealth Fund (MWF), fully owned by government. The MWF ensures that mining operations are financially independent of the national budget.
Purpose of the Chiefdom Engagements
According to Minister Bangura, the government’s visit to the three chiefdoms was to complete the license acquisition process through signing Land Lease Agreements with landowners of the Kasafoni Iron Ore Deposits. These deposits have been identified as strategic national assets allocated to the SLMMDC and the Mineral Wealth Fund for sustainable development and revenue generation.
Legal Reforms in Mining Governance
Chairman of the Parliamentary Committee on Mines and Mineral Resources, Hon. Saa Emerson Lamina, provided a comparative analysis of the 2009 Mining Act and the 2022 Mines and Mineral Development Act. He highlighted key improvements:
Community Consent – Companies must now obtain approval from local communities.
Community Development Fund – At least 1% of gross profit must be allocated to host communities.
Surface Rent – Landowners’ share increased from 50% to 70%.
Hon. Lamina credited President Bio’s leadership for ensuring that mineral wealth benefits the people directly.
Nationalization of the Mining Sector
Hon. Lamina further explained that the Mines and Mineral Development and Management Corporation Act of 2023 cemented government’s commitment to nationalizing the mining sector. Section 13 empowers the Corporation to establish project companies to mine on behalf of Sierra Leone. Since 2023, the Kasafoni Iron Ore Deposits have been ring-fenced, ensuring no operations occur without government approval.
Role of the Mineral Wealth Fund
Chief Executive Officer of the Mineral Wealth Fund, Farid Alghali Esq., explained that the MWF was created under Section 15 of the Corporation Act as a special purpose vehicle to leverage mining assets for national development. He revealed that the Fund has already attracted an investment partner committed to financing rail infrastructure, a port, mining facilities, and conveyor belt systems, worth hundreds of millions of dollars. Funding has been secured, and the first shipment is expected by November 2026. Under this model, government contributes the license and concession area while the partner provides capital, ensuring fair revenue sharing beyond the minimal 3% currently earned from mining.
Women’s Network Applauds Government Ownership
Aminata Deen Conteh, National Coordinator of the Women’s Network for Community Development (North-East Region), applauded the government’s decision to take ownership of mining ventures. She expressed optimism that the agreements will bring tangible community benefits, such as schools, hospitals, and safe drinking water to remote areas hosting the concessions. Conteh stressed that the initiative is apolitical and people-centred, a welcome change for women and communities in mining regions.
