Guinea has moved closer to processing iron ore domestically after reviewing a feasibility study for a proposed pellet plant linked to the giant Simandou iron ore project. The study, submitted by Simfer and China Baowu Steel Group, marks a significant step toward the government’s goal of adding value to mineral exports, rather than relying solely on raw ore shipments. Simandou, one of the world’s largest undeveloped iron ore deposits, began commercial exports in late 2025 and is expected to eventually produce up to 120 million tons annually. The proposed plant would convert iron ore into pellets used by steelmakers, potentially creating 1,950 construction jobs and 788 permanent positions. However, key details—including project costs, financing, timelines, and energy requirements—remain unclear. The initiative nevertheless reflects Guinea’s broader industrialization strategy, which increasingly emphasizes local processing of its mineral resources.
Ecofin Agency
