ArcelorMittal Community Development Playbook: An Enviable Mark Of Commitment

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In 2005 ArcelorMittal signed its initial mineral development agreement (MDA) to permit the commencement of mining activities in the Nimba town of Yekepa, and Buchanan, Grand Bassa County.

   The agreement was amended in 2006 to carry straight conditionalities  that pave the way for sustainable development and economic, social and environmental investment in Liberia, with the aim of primarily making sure that, while foreign companies generate a profit from their investment in the extraction of Liberia’s resources, the country and its citizens benefit as well.

   As a result of this, ArcelorMittal in the MDA committed to constituted US$3 million for county social development in the three counties affected by its operation.

   Nimba, Bong and Grand Bassa counties, according to the agreement, stand to benefit from US$75 million dollars over the entire 25-year lifespan of the agreement.

   ArcelorMittal (AML), the world’s leading integrated steel and mining company, has not faltered on her commitment to advance social development in the communities affected by its mining and logistics operations.

   Over the years, this money has been used for community development projects that will uplift and improve the lives of local people in the communities where the company has been operating since 2005.

   Not just the payment to counties, but the government also included “commitments to infrastructure development, environmental protection” and an overall guiding principle of uplifting Liberia and her people. 

   Under the agreement, AML is mandated to keep operational medical and education facilities in areas of operation to serve employees, their families and the broader community and to prioritize the employment and development of local Liberians. 

   Over the past 18 years ArcelorMittal has fulfilled all these obligations, and for the most part has gone far beyond its responsibilities under the mineral development agreement—from helping to fight Ebola and COVID to building market structures, schools, clinics, road rehabilitation, lighting up Yekepa and helping the government regularly solve urgent national imperatives in health, infrastructure and the education sector, outside of its concessional areas.

   AML continues to demonstrate responsible business leadership, catering to employees’ housing, children school fees and providing quality.

   Launched in 2018, the ArcelorMittal Liberia Vocational Training Center (VTC) in Yekepa, now the ArcelorMittal Training Academy, was opened with a US$7 million investment by the company to provide improved technical educational opportunities in several disciplines for young Liberians to enhance the workforce and economic development for a prosperous Liberia.

   Like Dr. Bropleh disclosed recently at the Grand Bassa Community College in Buchanan, the Ganta-Yekepa Road pavement is becoming a near-reality with ArcelorMittal’s demonstrated commitment to development in Liberia.

   Dr. Bropleh said, “Today that road with the continued involvement of our current President George Manneh Weah—that road is a near-reality.”

   ArcelorMittal will be remembered for providing the seed fund that saw the establishment of what is today Grand Bassa University.

   Currently, ArcelorMittal is constructing three children’s playgrounds in Zoweinta, Bong County, Frank Diggs Town, Grand Bassa, and Camp #4, Yekepa.

   With Phase Two expansion unfolding, the company continues to engage communities in the counties to contribute to their social and economic development, making its operation an integral part of its local community.

   This has come on the wheels of providing jobs, building local infrastructure and creating opportunities for local businesses to supply its mining and logistical functions.

   These interventions have come at great cost but the company sees them as a demonstration of true partnership with the government and people of Liberia.

   This is why AcelorMittal even further showed its long-term investment plan in the 3rd mineral development agreement worth about US$1 billion for new brownfield mining activity in Liberia.

   The Chief Executive Officer for ArcelorMittal-Liberia, Jozephus Coenen, last year reminded the country about his company’s position on its 3rd mineral development agreement with the government, and emphasized its economic and development significance. 

   “With the MDA amendment coming into effect, ArcelorMittal-Liberia will significantly ramp up the production of premium iron ore, generating significant new jobs and wider economic benefits for Liberia,” he said.

   “This is exciting news, not just for our workforce, but for all Liberians and the country. The expansion project encompasses processing, rail, and port facilities and is one of the largest mining projects in West Africa, with a capital investment of over a US$1 billion.”

   The AML CEO also went on to lay out the company’s on-going Phase-II Expansion Project, which has created nearly 3,000 jobs during the construction phase, with Liberians filling most of these roles.

   Coenen was basically reminding Liberians about the long way AML has come as a company with the government and people of Liberia. “We are proud of our partners with Liberia,” he reiterated. 

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