Monrovia, January 30, 2026: The Liberian Senate has overwhelmingly handed the Third Modification to the Mineral Growth Settlement (MDA) between the Authorities of Liberia and ArcelorMittal Liberia (AML), marking a significant milestone within the nation’s extractive sector and financial growth agenda.
The landmark settlement was authorised by 20 senators, with three abstentions, reflecting broad bipartisan assist for what lawmakers described as a considerably improved, people-centered concession framework.
Throughout plenary deliberations, a number of senators praised the revised settlement for addressing previous weaknesses, strengthening authorities oversight, increasing advantages to native communities, and making certain better participation of Liberians within the mining sector.
The passage follows years of negotiations between the Authorities and ArcelorMittal Liberia. Talks started in 2020, resulting in an preliminary settlement in September 2021. Nevertheless, that model was rejected by the Nationwide Legislature in March 2022 over issues about equity and nationwide advantages.
After 4 further years of negotiations, the Govt Department returned to the Legislature with a revised settlement that lawmakers say higher protects Liberia’s pursuits whereas sustaining a secure funding setting.
One senator remarked throughout the debate that the settlement is probably not excellent, nevertheless it represents a robust step ahead. He famous that it ensures Liberia will get extra worth from its iron ore assets whereas encouraging long-term funding and job creation.
On the middle of the brand new modification is a robust income framework designed to spice up authorities funds and neighborhood growth. The settlement ensures a direct US$200 million signature bonus, payable inside 30 days of its efficient date, offering a significant injection into the nationwide treasury.
As well as, ArcelorMittal will contribute US$5 million yearly to a Neighborhood Growth Fund for Nimba, Bong, and Grand Bassa counties, up from US$3 million beforehand. The funds will likely be adjusted yearly for inflation and used to assist schooling, well being, and infrastructure initiatives.
The corporate can even pay US$200,000 yearly as an infrastructure oversight price to assist the Nationwide Rail Authority in monitoring railroad operations. Mining license charges will rise sharply, reaching US$500,000 per yr by 2031, in comparison with the US$50,000 beforehand paid for 25 years.
Moreover, the modification introduces a 4.5 % month-to-month royalty on the FOB Buchanan value, changing the previous quarterly cost system and making certain quicker, extra predictable income for the federal government.
A significant spotlight of the Third Modification is its sturdy deal with Liberianization of the workforce and administration. Below the brand new settlement, at the very least 50 % of administration positions should be held by Liberians inside one yr, rising to 75 % in 5 years and 90 % in ten years.
Inside one yr, one of many 4 prime govt positions, together with the CEO, CAO, CFA, or COO, should be occupied by a Liberian. The corporate can also be required to present absolute choice to certified Liberians in any respect ranges of employment.
To additional empower native companies, ArcelorMittal should prioritize Liberian-owned small and medium-sized enterprises for items and companies and set up a joint committee to assist and strengthen them.
Lawmakers described these provisions as a turning level in making certain that Liberians transfer past guide labor to management and technical roles within the mining sector.
The Third Modification additionally emphasizes the event of human capital. ArcelorMittal will present US$500,000 yearly for coaching and schooling, together with scholarships for college kids finding out geology and mining engineering, with choice for youth from affected counties.
A brand new campus of the ArcelorMittal Liberia Vocational Coaching Heart will likely be established in Grand Bassa County, whereas annual monetary assist will likely be supplied to the College of Liberia’s Mining and Geology Institute and neighborhood faculties in Nimba, Bong, and Grand Bassa.
The modification mandates main infrastructure enhancements that can profit each mining operations and public transportation. These embody repairs to the KM 2.5 Bridge and the St. John River Bridge, paving the concession highway in Buchanan, and finishing the pavement of the Sanniquellie to Yekepa highway.
One of the transformative provisions is the introduction of a multi-user rail system, ending ArcelorMittal’s unique management of the railway. The corporate will improve the rail system to 30 million tons each year and make at the very least 8 million tons each year accessible for authorised third-party customers.
The federal government will obtain 30 % of web income from momentary rail rental preparations and one hundred pc of entry charges from different customers, creating a brand new income stream whereas selling broader mining growth.
Environmental safety is one other main characteristic of the brand new settlement. To safeguard water assets, ArcelorMittal is restricted to utilizing rainwater for mining operations and can pay US$100,000 yearly to the Liberia Water and Sewer Company for water use at its amenities.
Lawmakers and authorities officers say the settlement sends a robust message to the worldwide funding neighborhood that Liberia is open for enterprise, dedicated to transparency, and decided to safe honest worth from its pure assets.
A senior lawmaker said that the settlement balances nationwide curiosity with investor confidence and demonstrates that Liberia can negotiate sturdy agreements that profit its individuals whereas attracting severe traders.
With the Senate’s approval, the Third Modification now strikes nearer to full enactment, pending remaining processes. Consideration will now shift to implementation, monitoring, and enforcement to make sure that the promised advantages translate into actual enhancements within the lives of Liberians, particularly in mining-affected communities.
The passage of the Third Modification to ArcelorMittal Liberia’s MDA marks a brand new chapter in Liberia’s mining sector, outlined by stronger governance, expanded alternatives for native companies, elevated jobs, greater revenues, improved infrastructure, and sustainable growth.
