Name of the Project
Simandou iron-ore project.

Location
Guinea.

Project Owner/s
Simfer is a joint venture owned by the government of Guinea, Rio Tinto, Chalco Iron Ore Holdings and Winning Consortium Simandou (WCS).

Project Description
The Simandou project comprises three core elements – a mine, a railway and a port, as well as associated infrastructure.

There will be an openpit iron-ore operation in the Simandou range, in south-eastern Guinea, with an expected peak production of between 95-million and 100-million tonnes a year.

The railway will be about 650 km long to transport the iron-ore from the mine to the Guinean coast.

The port will be located south of Conakry, in the Morebaya river.

Associated developments to provide utilities and supporting infrastructure for the project include construction facilities, access to materials, power generation, water, access roads and accommodation.

Construction of the project will be undertaken in two stages.

The first stage will develop the southern Ouelaba mine site, which will include the construction of the railway and port to a capacity of about 50-million tonnes a year.

The second stage will bring the northern Pic de Fon mine site on line and expand the capacity of rail and port facilities, increasing production to between 95-million and 100-million tonnes a year.

The mine will be the biggest integrated mine-and-infrastructure project ever developed in Africa.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
A Rio Tinto engineering study conducted on the project estimates capital expenditure at $18.3-billion.

Planned Start/End Date
The first shipment of ore was initially expected by 2015; however, development of the project has been postponed several times.

Latest Developments
The Guinea government has ordered the cessation of all activities at the Simandou iron-ore deposit, saying it is seeking clarification of how Guinea's interests will be preserved.

In a statement read on national television on March 10, Guinea's interim government said interim president Mamady Doumbouya, who took power in a military coup in September 2021, had not seen any progress towards developing the project.

There has been no comment from Rio Tinto, Chinalco or WCS regarding government’s comments.

Earlier this year Rio Tinto reported that it remained committed to an inclusive partnership, seeking mutual and sustainable benefits by developing the project in line with international social and environmental standards.

It said in its Annual Report 2021 that a new drilling programme had started, and expressions of interest were being sourced for construction, with early development works expected to be undertaken in 2022.

Key Contracts, Suppliers and Consultants
Fluor (construction contractor) and NRW Holdings (earthworks contract).

Contact Details for Project Information
Chinalco, tel +86 10 8229 8103, fax +86 10 8229 8081 or email info@chinalco.com.cn.
Rio Tinto, email media.enquiries@riotinto.com.