President George Manneh Weah has submitted two separate concession agreements to the House of Representatives for possible ratification.
They include the concession agreement between the Government of Liberia and Prista Port Buchanan LLC, in the tune of US$277 million with the duration of 25 years and the Investment Incentive agreement with Capital Link Corporation.
According to separate communications accompanying the two investment bills from the Executive to the House last Friday, September 13, in special sitting at the Capitol, the Capital Link Corporation agreement is for the construction and development of a cement plant in Buchanan, Grand Bassa County that would have a capacity to produce five hundred (500) tons per day and expandable to one thousand (1000) tons per day.
President Weah said in the communication that the investment incentive agreement is worth over US$35million and spans for 15 years.
The Capital Link Corporation bill also states the investor is expected to produce and market comment products on the Liberian market, create five hundred jobs during its construction stage, and over one hundred direct jobs during operations.
"The investor will provide a company administered grant of US$10,000, for scholarship purposes to the country. This agreement is in support of the government's Pro-poor Agenda leading to rebuilding our nation and creating jobs for our people," the President's communication partly reads.
On the other hand, the Prista Buchanan port LLC is expected to create over one thousand (1,000) jobs, giving priority to qualified Liberians.
Under the agreement, the concessionaire will help to improve access to education and health care, and give preference to Liberian suppliers in terms of procurement, provisions and other services.
"The Concessionaire is expected to modernize the Port of Buchanan and enormously increase its capacity from 3.5 million tons to 9 million tons per year by 2041. This includes the construction and operation of several manufacturing facilities; for example, in motor oil production, as well as providing utilities such as electricity to the surrounding area. In effect, this may create a secondary industrial and business hub in Liberia and improve the business environment," the Prista LLC agreement indicates.
It also seeks to improve capacity and efficiency of the Port of Buchanan, as essential in supporting the government's long-term aim to export iron ore, from both Nimba and Guinea, as well as improving infrastructure for importing and exporting other goods. The main business focus of the concession is in the export of iron, supporting the strategic aims of the Government. Liberia will receive healthy revenues in the form of performance fees, whereby the concession shares 50 percent of berth fees, and $0.25 per metric ton of cargo shipped, with the Government, alongside substantial corporate income tax of about US$145 million.