The Simandou Project is currently the largest planned integrated mining and infrastructure development contemplated in Africa.
The Simandou Project includes three key components which are:
- The Mine: An iron ore exploration and mining project located towards the southern end of the 110-kilometre-long Simandou mountain range, 550 kilometres southeast of Guinea’s capital city Conakry. It is one of the largest undeveloped high grade iron ore deposits in the world, it is to be a conventional open pit mine with an expected capacity of 100 million metric tonnes of iron ore per annum.
- The Infrastructure: Includes a new 650-kilometre trans-Guinean railway line to transport iron ore from the Simandou mine to a new deep-sea port, located south of Conakry on the Morebaya River. Both rail and port will be available for use by third parties, on prescribed terms.
- Ancillary infrastructure: Access roads, accommodation, power generation and water systems to directly support the Simandou Project.
A third-party Infrastructure Consortium will fund, build and own multi-purpose, multi-user rail and port infrastructure. Rio Tinto’s investment will be in the mine only, and as such, will not be an investor in the Infrastructure Consortium. Simfer S.A. is a joint-venture ultimately owned by the Government of Guinea (15 per cent), Rio Tinto (45.05 per cent), and a consortium of Chinese State-owned enterprises lead by Chinalco (39.5 per cent).
Simfer S.A. is the holder of the Simandou South mining concession (blocks 3 and 4) located in southeastern Guinea.