Liberia news: Arcelor Mittal RSOP to help Liberia and Rail users

Liberia News: Arcelor Mittal RSOP to help Liberia and Rail users

BUCHANAN-This paper has gathered that a comprehensive framework developed between the Government of Liberia and ArcelorMittal Liberia (AML) seeks to serve as a pragmatic solution for managing Liberia’s vital rail infrastructure while promoting fair access and investment security in the country’s mining sector.

The Rail System Operating Principles (RSOP), finalized as part of AML’s Third Amendment to its Mineral Development Agreement (MDA), offers a clear path toward multiuser access without sacrificing operational efficiency, safety, or economic viability. This approach has won praise from infrastructure and policy experts across the region who view it as a “win-win” model that balances state sovereignty, investor protection, and shared use.

The RSOP is the result of over seven years of consultation between the Inter-Ministerial Concessions Committee (IMCC) and ArcelorMittal. It reflects Liberia’s vision of a multiuser rail corridor, as called for by Executive Order 136, while protecting long-standing agreements such as AML’s existing concession.

Executive Order 136 mandates multiuser principles but crucially reaffirms that existing legal commitments, like the AML MDA, must be upheld. “The AML agreement represents an integrated pit-to-port model that is the global standard in iron ore jurisdictions,” one IMCC official told the BBC. “You cannot break these without risking investor flight.”

According to industry analysts, AML’s integrated approach is modeled after successful systems in Australia, Brazil, Canada, and Guinea. “You don’t invite investment into billion-dollar railways and then cut out the original builder,” said a senior mining economist in Monrovia. “What Liberia and AML have built is not a monopoly—it’s a platform.”

The RSOP addresses fears of exclusivity by embedding regulatory oversight and shared governance mechanisms. It allows the Government of Liberia (GoL) to approve third-party access and monitor performance through a National Rail Authority.

Crucially, AML’s continued role as “User Operator” means it runs the railway on a cost-recovery basis—not for profit. This model ensures lower operating costs for all users while preserving high safety standards. All future users, including competitors or foreign companies using Liberian rails to export from neighboring Guinea, will participate in a Joint Management Committee with oversight over key rail decisions.

The Government retains full regulatory power, including the right to remove AML as operator in case of non-performance. It also approves operating procedures, audits, and safety protocols.

“This isn’t a case of one company dominating,” said a Ministry of Mines official. “This is Liberia leveraging what it already has to benefit all future users—without wasting money on duplicative rail systems or inviting chaos.”

The RSOP also cautions against relying on fragile or inconsistent foreign policies. In Guinea, Clause 26.7 of the SMFG mining agreement limits rail access through Liberia to a temporary measure, raising concerns about the durability of such cross-border plans. “Liberia must protect its national interest first,” the AML spokesperson stated, noting that any disruption to rail operations would threaten thousands of jobs and the country’s largest source of tax revenue.

The RSOP is now seen as a policy guide not just for iron ore, but for any future corridor development in Liberia. Experts say it could anchor broader legislation to regulate energy, transport, and agribusiness infrastructure.

“This is not about ArcelorMittal alone,” said an official familiar with the GOL and AML discussions. . “It’s about setting up Liberia to benefit from its assets—efficiently, fairly, and transparently.”

As the government moves forward with plans to establish the National Rail Authority, stakeholders are urging continued dialogue, not disruption.

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