Monrovia — Former Mines and Energy Minister Wilmot Paye has taken issue with Vice President Jeremiah Kpan Koung over what he describes as "contradictory" comments regarding President Joseph Nyuma Boakai's policy on reviewing concession agreements in Liberia.
Speaking during an appearance on state radio ELBC on Monday, Vice President Koung said most of Liberia's existing concessions were negotiated by previous administrations. He warned that any attempt by the current government to undo those agreements could portray the country as "hostile to foreign investments."
However, in a statement issued Tuesday, April 28, Paye argued that several of the Vice President's remarks were not aligned with the President's stated policy position.
He recalled that, contrary to Koung's assertions, President Boakai was unequivocal in his Third Annual Message this year, reiterating the government's commitment to reviewing all concessions--a position he has maintained since taking office.
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Paye further noted that the President has consistently emphasized this policy during cabinet meetings, underscoring its importance to his administration's agenda.
He stressed that translating this policy into action rests squarely on members of the administration, including the Vice President.
According to Paye, all officials entrusted with leadership responsibilities must ensure that their statements and actions reflect established government policy. He warned that any divergence in public pronouncements could create confusion and undermine the administration's credibility over time.
"I do not therefore entirely agree that everything the Vice President said yesterday was "cleared with the President". From yesterday's interview, it is obvious that while the President is more keen on reviewing all concessions, Vice President Koung seems to think otherwise, at least based on his own utterances."
Paye clarified that his criticism is not intended to single out the Vice President for its own sake, but to highlight what he sees as an important policy inconsistency.
He emphasized that, like President Boakai--who has expressed reservations about awarding concessions to foreign companies for Liberia's non-renewable resources in exchange for minimal royalties--he remains a firm believer that "sovereignty without custody is meaningless."
On MDAs
Vice President Koung also stated that under the recently amended Mineral Development Agreement (MDA), ArcelorMittal Liberia is required to pay US$500,000 annually.
However, Paye argued that under the previous MDA, which was set to expire in September 2030, the company paid just US$50,000 for its Class A Mining License over the entire 25-year period.
He further noted that a new fee structure introduced on June 10, 2025 replaced the August 13, 2010 framework, which had only 29 fee categories. According to Paye, it was under this older system that Class A license holders paid the US$50,000 fee, which was often embedded in concession agreements.
Fee Increment
Paye disclosed that the revised fee structure significantly increased mining license fees--from US$10,000 to US$50,000 for Class B licenses, and from US$50,000 (or about US$2,000 annually) to US$500,000 per year for Class A licenses during the initial production phase, rising to US$1 million annually thereafter.
He argued that the amended MDA referenced by the Vice President does not appear to reflect the June 10, 2025 regulation, noting that the US$500,000 Class A license fee remains locked into the agreement.
"This was not the intent," Paye said. "Locking up a license fee, which is a regulatory tool, in concession agreements weakens regulatory bodies and makes it difficult, if not impossible, to hold operators accountable in the future. The truth is that as a country, we seem to take our eyes off the ball during the final phases of negotiations."
Paye attributed these shortcomings to the negotiating team, stating that the government often fails to critically assess its own approach. Instead, he said, officials tend to blame concession holders, who exploit gaps in negotiation by presenting figures not always backed by evidence.
Putu Mine
Vice President Koung also disclosed ongoing discussions regarding the Putu Iron Ore Mining project. He defended the government's handling of the Putu concession, explaining that authorities moved away from a Liberian company, AMR, after it failed to provide credible proof of financial capacity.
"We asked them for proof of funds... In four, five months, they haven't started anything," Koung said. "We took a decision: let's go with Planet One."
Koung disclosed that Planet One, a Dubai-based entity with Indian partners, has since provided documentation, including proof of funds, and is expected to proceed with the transfer process. He noted that once completed, the project could unlock significant economic benefits for southeastern Liberia, including the settlement of approximately US$40 million in outstanding obligations owed by the previous operators.
The Vice President projected that, pending the resolution of sanctions-related processes, operations could commence within 15 to 20 months, potentially revitalizing economic activity in Grand Gedeh, River Gee, and Sinoe counties.
Countering, Paye described the Putu concession as a significant opportunity for Liberia to rethink its approach and develop a model that incorporates lessons learned from past agreements involving ArcelorMittal Liberia, China Union, Western Cluster, Bea Mountain, and MNG Gold.
"If we cannot get Putu right, then it means that we are certainly not learning from our mistakes. The simple truth is that instead of invoking the "Change of Control" provision in the Putu MDA, Liberia can pay Severstal and repossess this vital asset and seek for a partnership to develop it. What we need to overcome, as I have always maintained, is to start believing in ourselves, at least for this once."
He emphasized that with the right attitude and discipline--particularly by avoiding negotiations conducted as though "the world beneath is collapsing"--Liberia could develop a model capable of attracting the necessary financial capital.
He argued that concession holders are not required to have large sums of cash readily available, but rather need to demonstrate that the underlying asset exists and is viable.
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According to him, once such assets are verified and financial guarantees are provided, commercial banks are willing to mobilize the required capital for project development.
Paye further stressed that minerals, though non-renewable, do not deteriorate, adding that countries like Guinea are securing stronger deals because earlier generations resisted undue pressure in resource negotiations.
He maintained that Liberia cannot, on one hand, criticize mining operations such as Bea Mountain in Grand Cape Mount County for not delivering sufficient national benefits, while on the other hand failing to fully maximize opportunities like the Putu Iron Ore project.
Paye served as Minister of Mines and Energy at the inception of the Boakai-Koung administration in 2024 until he was dismissed in October 2025.
In a surprise reshuffle, President Joseph Boakai removed Wilmot Paye from the position and immediately nominated R. Matenokay Tingban, former Representative of Nimba County District #9, as his replacement.
An Executive Mansion statement said the changes formed part of a broader shake-up affecting several key government institutions, as President Boakai sought to "strengthen governance, improve institutional performance, and ensure accountability and efficiency" under his ARREST Agenda.
Observers say the public exchange between Paye and Koung highlights emerging tensions over the government's concession policy, particularly as the Boakai administration seeks to balance investor confidence with calls for greater transparency and national benefit in the management of Liberia's natural resources.
