James T. Brooks
CAPITOL HILL, Monrovia — President Joseph Nyuma Boakai has formally submitted the Third Amendment to the ArcelorMittal Liberia (AML) Mineral Development Agreement (MDA) to the National Legislature, describing the instrument as a cornerstone for Liberia’s economic recovery, job creation, and long-term infrastructure stability. The submission was introduced on Tuesday during the first sitting of the House of Representatives’ Third Session, marking a pivotal moment for the administration’s developmental goals.
The President emphasized that the revised agreement is meticulously aligned with his administration’s ARREST Agenda, which targets agriculture, roads, rule of law, education, sanitation, and tourism as the primary drivers of national growth. In his address to lawmakers, Boakai stated that the ratification is critical to addressing the country’s social and economic needs, noting that the deal will significantly broaden Liberia’s fiscal space while delivering direct benefits to communities impacted by mining activities.
Signed on December 20, 2025, the Third Amendment serves to consolidate all previous iterations of the MDA—originally signed in 2005 and updated in 2006 and 2013—into a single, comprehensive framework between the Government of Liberia and ArcelorMittal’s various holdings. A primary highlight of the deal is an immediate upfront payment of US$200 million to the government upon ratification. Revenue officials have already integrated this figure into the national budget to fund priority public spending.
Beyond the immediate financial infusion, the agreement strengthens sovereign control over strategic infrastructure, specifically the vital Yekepa-to-Buchanan rail corridor. New Rail System Operating Principles (RSOP) will empower the government to establish a multi-user rail regime. This framework ensures non-discriminatory access for other users and sets the stage for a fully independent, government-regulated rail authority by the year 2030, fulfilling a long-term vision for national logistics.
Under the terms of the proposal, AML’s concession will be extended to December 20, 2050, with further options for renewal. In exchange, the company commits to a massive scaling of iron ore production, aiming for 15 million wet metric tons per year by 2027, 20 million by 2031, and eventually reaching 30 million metric tons annually. The fiscal benefits are further bolstered by a tenfold increase in the annual mining license fee, rising from US$50,000 to US$500,000.
The amendment also mandates a significant expansion of social corporate responsibility. AML will contribute US$5 million annually to a Community Development Fund dedicated to towns and villages within its operational footprint. Specific infrastructure projects include the rehabilitation of the KM 2.5 Bridge in Buchanan and repairs to the St. John River Bridge, which connects Grand Bassa and River Cess counties. To ensure compliance, the agreement includes a penalty of up to US$500,000 annually if these social projects are not implemented.
Furthermore, the deal focuses heavily on Liberian workforce development. It sets aggressive localization targets, requiring qualified Liberians to hold 50% of senior management roles within three years, 75% of technical positions within five years, and 90% within a decade. AML is also pledged to invest at least US$500,000 annually in local education and skills training. Following the President’s submission, the House Plenary voted to refer the agreement to a joint committee for a two-week review period, with several lawmakers expressing optimism while insisting on a thorough expert consultation to protect the national interest.
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