UAE firm lashes out after Guinea revokes major bauxite mining licence

The United Arab Emirates has sharply condemned a move by Guinea's ruling military council to revoke a major bauxite mining concession held by a subsidiary of its largest aluminium company, Emirates Global Aluminium (EGA), calling it "an effective expropriation" and a violation of legal and contractual obligations.

The concession, operated by Guinea Alumina Corporation (GAC), was cancelled by presidential decree, with the rights transferred to a newly established state-owned company. GAC runs one of Guinea's largest bauxite mines in the Boké region.

The decision was announced in a series of decrees signed by junta leader General Mamady Doumbouya and read out on national television on Monday.

"The mining concession granted to Guinea Alumina Corporation has been revoked as of the date of this decree," one decree stated, citing the company's alleged failure to comply with the national mining code.

In a separate decree, Doumbouya announced the creation of Nimba Mining Company, a new state-owned entity that will take over the operations previously run by GAC.

The move comes as part of a broader effort by Guinea's military-led government to assert greater state control over the country's vast natural resources. Over recent months, authorities have withdrawn dozens of exploitation licences from both foreign and local mining companies.

Emirates Global Aluminium, the parent company of GAC, condemned the decision in strong terms.

"These actions represent a flagrant breach of Guinea Alumina Corporation’s contractual and legal rights, jeopardise over 3,000 local jobs, and raise serious concerns about the Republic of Guinea’s commitment to the rule of law," the company said in a statement.

General Doumbouya came to power in September 2021 after leading a coup that ousted former President Alpha Condé.

Since then, he has prioritised tightening government oversight of Guinea's mining sector, which has long been criticised for allowing vast mineral wealth to flow out of the country with little benefit to its population.

Despite being one of the world's top producers of bauxite, the primary raw material used in aluminium production, and holding significant reserves of iron, gold, uranium, and diamonds, Guinea remains among the world’s poorest countries.