Guinea - Country Commercial Guide
Mining and Minerals

This is a best prospect industry sector for this country.  Includes a market overview and trade data.

Last published date: 2021-10-14

Overview

The sector with the most potential is mining.  Bauxite, iron ore, gold, and diamond mining represent key markets for Guinea and relatively well developed with tens of foreign companies actively producing and exporting minerals.  In addition to these resources, Guinea has commercially viable quantities of graphite, manganese, nickel, and uranium, though these have not yet been exploited commercially. In 2020, Guinea exported just over USD 3.3 billion of bauxite (82.4 million tons @ $50/ton), and USD 1.2 billion of gold (434 oz. @ USD 1,392 / oz.).  Large amounts of high quality iron ore remain un-exploited due to the logistical difficulty of transporting ore to ports.  Two new iron ore projects at Simandou and Mount Nimba are likely to begin exporting within the next five years once the mining sites and associated rail lines have been completed.  Rail infrastructure across Guinea is planned to export iron ore from the Simandou project, while a rail connection to the Liberian port of Buchanan is envisions to export Nimba’s reserves.

 

Operational Projects

Projects Under Development

Bauxite

9

11

Gold

2

10

Iron

1

4

Graphite

0

1

Diamond

3

3

Alumina

1

7

Limestone

0

0

Total

16

36

(total market size = (total local production + imports) - exports)

Units: $ millions

Source:  https://www.stat-guinee.org/images/Documents/Publications/SSN/mmg/Bulletin_Stat-Minires_N11_T1-2021-MMG_VF.pdf

Sectors

Bauxite mining is a growth industry, with new companies opening concessions and expanding existing operations. Additionally - and linked to the success of mining developments - road and railroad construction is a potentially lucrative market in the future.  However, most recent large road construction contracts went exclusively to politically well-connected Guinean or Chinese construction firms.  Guinea holds 35 percent of the world’s bauxite reserves (10-40 billion tons) and becomes the second main bauxite exporter after Australia since 2019, according to the October 2020 World Bank Group report on Commodity Markets Outlook.

Bauxite

2015

2016

2017

2018

2019

2020

Total Local Production

(thousand metric tons)

17,700

31,500

45,000

50,000

66,279

82,404

Total Exports

(USD millions)

596.96

882.99

1888.40

2.010.00

3.313.97

4127.91

Exports to the U.S.

(USD millions)

74.22

2.55

0

0

0*

0

Total Imports

(USD millions)

0

0

0

0

0

0

Average price of bauxite imported to U.S.

(USD per metric ton)

28

28

N/A

N/A

N/A

N/A

(total market size = (total local production + imports) - exports)

Units: $ millions

Source: https://www.stat-guinee.org/images/Documents/Publications/SSN/mmg/Bulletin_Stat-Minires_N11_T1-2021-MMG_VF.pdf

* U.S. customers recently placed heavier emphasis on importing calcined (processed) rather than crude bauxite, resulting in a significant drop in Guinea’s bauxite exports to the United States.  Thus, in 2016 CBG began shipping most of its product to China instead of the United States, exporting less than two to the United States by 2017.

Opportunities

There are opportunities for exporting machinery and equipment to Guinea, particularly in the mining sector.  Several mining companies are in the early exploration or construction phases of their contracts and will likely look to make substantial investments in machinery and construction equipment in the upcoming years.  Additionally, new hotels, office buildings, and road construction in and around Conakry offer opportunities for machinery and equipment sales.

Resources

  • Guinean Ministry of Mines
  • Guinea Ministry of Mines - Mining Cadastre
  • 2013 Mining Code
  • Guinean Ministry of Investment and Public Private Partnerships
  • Guinean Employment Promotion Agency (AGUIPE)
  • Natural Resources Governance Initiative - Guinea
  • Petroleum and Mining Contracts - Guinea
  • Extractive Industries Transparency Initiative - Guinea