James T. Brooks
CAPITOL HILL — The House of Representatives on Tuesday night delivered a decisive mandate for the future of Liberia’s mining sector, overwhelmingly passing the Third Amendment to the Mineral Development Agreement (MDA) between the Government of Liberia and ArcelorMittal Liberia. The measure, which now moves to the Senate for concurrence, follows months of intensive negotiations and an exhaustive legislative review process aimed at securing better terms for the nation.
The bill passed with a resounding 51-0 vote, with only two abstentions from Representatives James Kolleh and Jacob Debee. The approval followed the formal adoption of a Joint Committee report that recommended passage without reservation, marking a significant milestone in a negotiation process that began in 2020. This revised agreement comes after the Legislature rejected a previous version in 2021, prompting years of renegotiations to address specific deficiencies flagged by lawmakers.
The legislative momentum peaked during a public hearing on Monday, January 19, 2026, hosted by the Joint Committee on Investment and Concessions; Lands, Mines, Energy, Natural Resources and Environment; and the Judiciary. During the four-hour session, senior officials from the Inter-Ministerial Concessions Committee (IMCC)—representing the Ministries of Mines and Energy, Justice, Finance, Labor, and the National Investment Commission—presented a compelling case for the amendment’s benefits.
The Joint Committee characterized the Third Amendment as a marked improvement over the existing framework, emphasizing its focus on government revenue, infrastructure ownership, and Liberian participation. A cornerstone of the new agreement is the explicit affirmation of government ownership regarding rail and port infrastructure. By introducing Rail System Operating Principles, the amendment seeks to transition the Yekepa-to-Buchanan rail corridor into a multi-user system, ensuring national control while facilitating third-party access under strictly regulated terms.
Financially, the package promises immediate and long-term fiscal benefits. This includes a US$200 million signature bonus payable within 30 days of the agreement’s effectiveness. Additionally, the deal secures a US$5 million annual Community Development Fund for Nimba, Bong, and Grand Bassa counties, a US$200,000 annual rail oversight fee, and a US$500,000 annual mining license fee starting in 2031. To improve government cash flow, royalties will now be paid monthly at a rate of 4.5 percent of the Free On Board (FOB) Buchanan price.
The amendment also introduces aggressive “Liberianization” targets for corporate management. ArcelorMittal is now required to reach 50 percent Liberian management within one year, 75 percent within five years, and 90 percent within a decade. Crucially, the agreement mandates that at least one Liberian be placed among the top four senior executives within the first year of operations. Beyond direct employment, the deal establishes structured support systems for Liberian-owned small and medium enterprises.
Educational and infrastructure commitments are similarly robust. The agreement institutionalizes a US$500,000 annual training budget, funding scholarships in geology and mining engineering, a new vocational training center in Grand Bassa County, and recurring contributions to the University of Liberia’s Mining and Geology Institute. Infrastructure upgrades include the repair of the KM 2.5 and St. John River bridges, the paving of key corridors such as the Sanniquellie–Yekepa road, and a rail capacity expansion to 30 million tons per annum—with 8 million tons guaranteed for third-party users.
Environmental protections were also a focal point, with the amendment requiring the exclusive use of rainwater for mining operations and an annual US$100,000 payment to the Liberia Water and Sewer Corporation. In its final assessment, the Joint Committee described the amendment as a strong and balanced instrument that secures the value of Liberia’s iron ore resources while signaling to the world that the country is ready for transparent, responsible investment.
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