FrontPage Africa has gathered that growing tug-of-war over critical infrastructure is unfolding between the National Investment Commission (NIC) and High-Power Exploration (HPX), which is pressing hard for rail access and reportedly leveraging long-term investors for control. At the center of this high-stakes drama, HPX is not only attempting to secure exclusive transport rights for ore mined in Guinea but also raising alarms over Liberia's sovereignty and its fragile economy.
Behind the scenes, two leaked letters obtained from sources within HPX reveal the company's increasing pressure on Liberian authorities to grant access to the country's railway and port.
The company is seeking the rights to transport ore exclusively from neighboring Guinea, raising concerns among Liberian policymakers and stakeholders who fear that the government may be sacrificing long-term partnerships and investments under external pressure from a company with zero local investment.
HPX's Letter: A Demand Framed as Development
In a two-page letter to the National Bureau of Concessions, HPX lays out its case for exclusive access, presenting the project as a "transformative opportunity for the region."
The company claims its infrastructure plans would "align with Liberia's economic interests," stressing potential job creation and regional integration while pressing the government to act quickly. Despite these claims, HPX fails to outline any real commitment to investing in the railway or port infrastructure.
The company also opposes ArcelorMittal Liberia (AML) remaining the operator of the railway, despite AML having invested more than $800 million into the infrastructure's development and its ongoing Phase Two expansion project. Instead, HPX calls for the railway to be nationalized, a stance AML deems unfair given its substantial contributions. AML argues that HPX and other entities seeking railway access should either help expand capacity or pay their fair share, as required by Liberian law.
HPX expresses frustration with the delays in finalizing the Concession and Access Agreement (CAA), accusing the NIC of making "unnecessary and counterproductive" demands for previously submitted documents and for engaging with the Government of Guinea on matters "within Liberia's sole jurisdiction."
The company questions whether these actions are being made "in good faith," while criticizing attempts to revisit agreements already affirmed through bilateral talks. HPX warns that delays in granting it access to the railway will undermine Liberia's development goals and compromise the project's stability.
NIC response
In response, the NIC clarified that HPX's proposal, particularly with the addition of the Liberty Corridor, has evolved, requiring "updated submissions" to accurately reflect the current scope of the project.
The NIC emphasized that the previously submitted financial model was outdated and that an updated pre-feasibility study (PFS) is essential to address potential challenges posed by the new corridor. "The specific documents requested, such as the updated financial model, are necessary to ensure that all provided materials align with the current scope of the project," the NIC explained.
HPX's $5 Billion Investment Plan: No Technical Details Submitted?
Despite announcing a $5 billion investment plan earlier this year, which promised to reshape Liberia's mining and infrastructure sectors, HPX has yet to provide any technical details to the NIC. Instead, the company has primarily focused on pressing the government for railway access, raising questions about its true commitment to Liberia's development.
While the NIC acknowledged HPX's urgency, it reiterated that timelines must be balanced with due diligence. The CAA, which governs the use of the railway and port infrastructure, is a complex agreement, and the technical team is engaged in multiple negotiations requiring careful review. The NIC further explained that the engagement with the Government of Guinea (GOG) is essential for cross-border coordination and is part of the broader Implementation Agreement between Liberia and Guinea. "Engaging with the GOG on cross-border matters is critical to ensure alignment and adherence to bilateral commitments," the NIC emphasized.
Sovereignty and Operational Integrity at Stake
The NIC also pointed out that the ore to be transported through Liberian territory is expected to come from Guinea, utilizing Liberia's rail and port infrastructure. With recent changes in leadership in Guinea, the NIC believes it is prudent to seek engagement and proper coordination with the Guinean government. These consultations, according to the NIC, "are not intended to hinder progress but to fortify the project's legal and operational foundation."
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On the issue of the operator model, the NIC reaffirmed the government's commitment to a "multi-user operator model" that ensures fairness and transparency. While HPX has expressed concerns over potential conflicts with ArcelorMittal Liberia's rights, the NIC acknowledges AML's significant investments in the country since the end of the war and is working to balance the interests of all stakeholders involved.
As this complex negotiation continues, the pressure from HPX and its influential backers leaves many wonderings whether Liberia's sovereignty and long-term development goals will be overshadowed by external corporate interests. The coming months will reveal whether Liberia can navigate this delicate situation while safeguarding its resources, infrastructure, and economic future.
