Information coming from Bea Mountain Mining Company says plans have been concluded for an investment portfolio of US$200 million in developing the country's first ever commercial gold mining operation.
The company has a Mineral Development Agreement with the government of Liberia granting it license to operate in Grand Cape Mount in western part of the country.
Mr. Debar W. Allen, General Manager of Bea Mountain Mining Company said Aureus Mining Inc, the parent company, has secured two separate loans totaling US$100 from South African banks to finance the development of its New Liberty Gold Project in Liberia in the western block where it has 100 percent stake.
"We signed US$88 million project finance loan agreement with Ned Bank Limited and Rand Merchant Bank (RMB) as well as US$12 million loan agreement with RMB Resources," Allen told our reporter in an interview yesterday.
According to him, his company is doing everything possible to prevent the occurrence of conflict with community residents in operational areas. He asserted that this way, the company will be in an appropriate position to adequately respond to their grievances or demands. Another key issue he claims to derail operational processes is failing to adequately address all environmental issues.
On the level of investment thus far, Allen was quick to point out the status to date.
"Today, our investment is excess of US$65 million in the Liberian project. This project started in 1990 with exploration which is a very expensive component of a mining operation. And we spent lot of money in that process," he said.
"Now we are in construction of homes, clinics, schools for use by residents as part of our social responsibilities,'" the General Manager said. He named other plans.
"For instance, in our area we have done something very unique that other companies haven't by entering into an agreement with the people called Resettlement Action Plan (RAP) deals exclusively with building a new community for them instead of just removing them from the land without an option for somewhere else."
Allen said his entity calls the new location, Resettlement Action Plan Village (RAPV) for which he revealed that the company plans aggressive people-to-people contact in operation areas by helping to uplift them and improve the condition.
"We are building 325 new brick houses. We are putting up 200 shops. We are building a Mosque, Church, and Football Field. It is a new community with sanitary systems-water and hand pumps distributed to ensure safe drinking water is available to all."
On the present status of operation of the Bea Mountain Mining Corporation, Allen said "we are still in exploration and we also have declared discovery in our licensed property in Grand Cape Mount County in western Liberia."
Since 2010, the war-torn country made significant progress in reviving the mining sector, which prior to the outbreak of the civil war, was a major source of revenue for the government providing 65% of the country's export earnings and represented about 25% GDP according to Finance Ministry.
It can be recalled that major mines like National Iron Ore Mining (NIOC), Bong Mines owned by a German firm and Liberia Swedish Mining Company LAMCO were all vandalized and subsequently closed.
This affected the mineral sector's contribution to the economy according to the Ministry of Ministry of Lands, Mines and Energy 2010 report.
Speaking further on others sources of financing to undertake the development project in Liberia, Allen said, the parent company is listed on the London and Canadian Stock-Exchanges where shares are bought and sold daily to finance projects.
He said the company's first gold shipment at its Liberia project in the first quarter of 2015, a slight deviation to previous forecast, he told Bloomberg today.
According to Allen when the much publicized New Liberty gold project has an estimated 900,000 ounces of gold reserve while at the same time, exploration for new fields will continue, Debar Allen, told Bloomberg in the capital Monrovia.ement (MDA) with the government of Liberia, expectations were high for good reasons.