InvestorsHub Logo
Followers 129
Posts 3809
Boards Moderated 0
Alias Born 07/12/2003

Re: None

Thursday, 04/17/2014 7:59:20 PM

Thursday, April 17, 2014 7:59:20 PM

Post# of 101798
Liberia Government Lack Logistics To Combat Illegal Mining By Chinese Companies……


Liberia | 21 March 2014 Last updated at 12:40 CET


http://www.modernghana.com/news/530887/67/liberia-government-lack-logistics-to-combat-illega.html


Monrovia----The Ministry of Lands Mines and Energy, Liberia responsible for all mining activities has said it was not aware of the illegal mining by Chinese and others Nationals in the Country. . Fahnseth B. Mulbah is the Inspector General for Mines at the Ministry of Land mines and Energy termed such mining on the Cestos River as illegal because according to him miners with Class “C” license are prohibited from using machines to mine, and that the case was to be investigated.

It has also been gathered again that Barite, is being mined on a large scale in Margibi County leaving deep holes in the areas where they are being mined. The mining is being done using yellow machines, with the removal of tons and tons of Barite from the earth, leaving very big holes behind as the miners move on to other areas to drill the earth for more Barite.

Large scale mining of Gold, Diamonds and other valuable stones in the Country has attracted many citizens, business people and even foreigners to the industry, but as to whether Liberia is benefiting from these minerals abstracted, is another question.

The Steinbock Minerals Company that is doing the mining of Barite is operated by a group of Chinese, who hardly speak English, but only operate machines to do the mining. They work day and night and sleep on the site under old tents and cars, while the Liberian workers go home to nearby villages after work, some villagers in the surrounding communities where the Barite is being mined.

“These Chinese, who are mining the barite, are the only contractors whose duty is to mine and take it to the Port of Buchanan in Grand Bassa County for shipment to Europe,” Says Dexhon Kpakilah, a Liberian Supervisor. Kpakilah, who said he does not know the Country in Europe that the Barite is being shipped, supervises other Liberians at the site.

When questioned as to whether the company is registered with the Ministry of Lands, Mines and Energy, and if it had any license to that effect, Supervisor Kpakilah said they are operating with a class “B” license from the Ministry of Lands Mine and Energy and they have been operating for nearly two years.

According to the Supervisor, the categories of license that the Ministry of Lands gives states that grade “A” or Class “A” license is for merchandise mining that deals with big companies like ArcelorMittal and Big machine like bulldozers, Dredges and other mining equipment are allowed to be used. While Class “B” or Grade “B” License is Semi merchandise mining also using equipment, but it should include some level of participation by Liberians.

The Environmental Protection Agency EPA, responsible to observe the environmental laws and the impact on the citizens in the community, admitted knowing about the company and the issuance of a permit to the company, but there was no inspector on site.

“I know Steinbock Minerals because it was once halted from mining activities for not getting all their documents correct before commencing work,” says Mr. Earl Neblett, Assistant Manager of ESIS at Environmental Protection Agency (EPA).

Mr. Neblett said there should be an EPA inspector at every mining site in the Country to see that the company does not violate the environmental laws like spilled oil from the equipment, machine pollution and waste, but said due to lack of logistics, the EPA does not have an inspector on the Company’s operational site.

“EPA only has just a fuel vehicle to cover the entire Country and less than 200 employees. We do not even have bikes for the workers to go to the various sites and one fuel truck cannot cover the entire country.”

He said the slashing of the Agency budget from 1.5 million a year to less than one million, has put a strain on the Agency and employees. “We are supposed to operate laboratories and have offices in all of the Counties, but the funds we are getting is only enough to pay employees.”

When asked about the very large holes left after drilling for barite, Neblett said before the company leaves, it will cover the holes and do re-vegetation on the site after covering the holes. It was also noticed on the site that the large machine washing the barite and sending it out from the other end of the machine, also has a component that mines gold, which does not come out from the same side of the barite.

There was no inspector from the Ministry of Lands Mines and Energy to carry on the duty as to what leaves the country. Whereas, it is usually known that the Ministry of Lands Mines and Energy should have a representative from the Ministry deployed on every mining site, but in this case, there was no one on the site that is close to Monrovia to see if it is only barite that is being abstracted and shipped out of the Country.

The Ministry of Lands, Mines and Energy confirmed the operations of SteinBock company in Liberia, but as to having inspectors on the site to see what is being mined other than barite, the ministry says its hands are tie and cannot do much.

“The Ministry of Lands Mines and Energy is expected to be at all mining sites and at all times, but it is not like that, because we do not have the logistics needed to do the work,” Says William S. Hines, Assistant Minister of Mines.

“There are no vehicles or even bikes for the Inspectors to cover these mining sites, some of them have to walk through the bushes to some sites, while other sites are not covered because of the long distance. There are 49 mining sites in the Country and we need twice the number of inspectors and patrol officers to inspect, but we have only 34 inspectors to cover these mining sites and that number is not enough to do the job.”

Minister Hines, who was astonished to see photos of illegal miners in Rivercess, mining the Cestos River, said if the Ministry had logistics, it would do more in cracking down illegal miners around the Country.

“If we even arrest illegal miners, how do we bring them for investigation, do we carry them on our backs, when we have no vehicles for that operation? It is too much to talk, because the Ministry is stranded and we cannot do much.”

Until the government can address the issue of logistics for both the Ministry of Lands Mines and Energy and the Environmental Protection Agency (EPA), to tackle the situation of monitoring what leaves the country, illegal miners, who extract minerals for themselves, remains in limbo, and the entire Country stands to lose its resources.

Research has shown that Liberia is rich in natural resources, has indicated that Barite a valuable mineral which occurs in a large number of depositional environments, and is deposited through a large number of processes including biogenic, hydrothermal, and evaporation, among others is found in Liberia.

With all attention in Liberia at the moment on the emerging oil sector, investigations has gathered that Liberia is amongst a list of countries including Nigeria, Brazil, Canada, Chile and others where the mineral (Barite) can be found according to research but with such economic importance of the mineral, it is being mined in Liberia without public attention. Barite is important to the extent that some 77% worldwide is used as a weighting agent for drilling fluids in oil and gas exploration to suppress high formation pressures and prevent blowouts.

Other uses of Barite are in added-value applications which include filler in paint and plastics, sound reduction in engine compartments, coat of automobile finishes for smoothness and corrosion resistance, friction products for automobiles and trucks, radiation-shielding cement, glass ceramics and medical applications (for example, a barium meal before a contrast CAT scan). Barite is supplied in a variety of forms and the price depends on the amount of processing; filler applications commanding higher prices following intense physical processing by grinding and micronizing, and there are further premiums for whiteness and brightness and color.

Historically Barite was used for the production of barium hydroxide for sugar refining, and as a white pigment for textiles, paper, and paint. Investigation has established that Barite is being mined in Liberia, in Margibi County by Chinese nationals. About a month ago, and reported illicit gold mining activities on a massive scale over the Cestos River in ITI, Rivercess County, where Chinese and other Nationals were and are still mining the Cestos River on a daily basis.
Join InvestorsHub

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.