AML in Impressive Regulatory compliance -Independent Analysis Gives It 90% Score in Critical MDA Areas

MONROVIA – A noted side-effect of transnational capital investments over the years has been the reckless floating of host country’s laws, including concession agreements, intended to hold them to good behaviors, be it towards affected communities, the environment, tax rules, amongst others. Most concessionaires in Liberia if not all are found acutely wanting in this affair.  But it seems ArcelorMittal has cut the corner, with independent analysis indicating it has been in 90 percent compliance to regulatory checks of the Mineral Development Agreement signed with Government. THE ANALYST reports.   

A thorough analysis of the Mineral Development Agreement (MDA) commitments by ArcelorMittal Liberia, the arguably largest investor and taxpayer, is favorably compliant with its obligations under, according to a compliance review seen by this paper.

The comprehensive analysis shows ArcelorMittal Liberia’s performance as above 90% in critical areas such as employment of Liberians, infrastructure development, healthcare, education, tax contributions, and community investment. The company continues to demonstrate that its investment goes beyond mining to include building systems that support Liberia’s growth, the analysis indicates.

The review also captures several issues that still need to be addressed, like the complete renovation of Yekepa, including challenges like six cases of unauthorized occupation in AML’s concession area, Environmental Management where progress is ongoing but not yet fully compliant, as well as frequent theft of rail fasteners affecting operations.

Over $424.6 million has been paid in taxes and royalties to the Government of Liberia from 2005 to April 2024, in addition to $52.3 million deposited into the County Social Development Fund (CSDF) to fund local development initiatives in Nimba, Bong, and Grand Bassa.

ArcelorMittal Liberia employs more than 96 percent Liberians in its workforce, with 81 percent of professional and managerial positions occupied by citizens.

The company’s community development work includes a $40 million investment in the Ganta-Sehyikimpa road, directly linking key economic zones, and has also invested $7.5 million in the expansion of its Training Academy in Yekepa, producing 95 graduates and awarding 99 foreign scholarships to young Liberians.

In the health sector, the company runs two well-equipped hospitals in Buchanan and Yekepa with nearly 60 medical professionals serving over 14,000 patients annually.

In infrastructure, ArcelorMittal has rehabilitated 243 kilometers of railway and fully restored Buchanan’s port facilities. The railway now operates with 7 locomotives and 9 more have been ordered to boost capacity.

These investments significantly enhance the movement of goods and bolster Liberia’s logistics infrastructure.

On the environmental front, ArcelorMittal Liberia has submitted 40 environmental monitoring reports to the Environmental Protection Agency (EPA), trained 1,785 farmers in conservation techniques, and replanted more than 150,000 indigenous tree seedlings.

Although this area remains in progress, the level of investment and effort already committed points to a clear environmental vision and responsibility, the analysis noted, adding that the company has demonstrated full compliance in nearly all MDA categories.

“These include land concession management, employment and secondment, local content and procurement, health and security, community development, training and capacity building, and infrastructure,” said the independent report, further noting that the remaining areas that require further improvement—such as continued enhancements in environmental management and rail asset protection—are actively being addressed in cooperation with local authorities and stakeholders.

Accordingly, the graphical analysis of ArcelorMittal Liberia’s performance reveals that 65 percent of all key MDA provisions are fully complied with, 25 percent are substantively complied with, and only 10 percent remain in progress. This places the company’s overall MDA compliance score at over 90 percent, making it one of the most consistent and responsible concessionaires in Liberia.

As Liberia continues to attract foreign direct investment, ArcelorMittal Liberia stands as a rare example of a company that not only meets its financial and operational commitments but also actively contributes to national development. Its Phase II expansion, with a total investment of over $2 billion, reflects long-term confidence in Liberia’s governance and economic future.

ArcelorMittal Liberia is not just mining ore; it is investing in people, building infrastructure, and sustaining development. Its operations continue to generate opportunity, create employment, and promote stability across the nation.