Cameroon will build a railway line from its coast to a large iron ore deposit on its border with Congo Republic in August, according to the interim mines minister.
Despite Sundance Resources’ legal action, the central African country signed a railway construction deal with two China-linked companies in June 2021.
Sundance asserts Cameroon and the Congo Republic violated contracts by collaborating with Chinese investors on the Mbalam-Nabeba project.
Cameroon’s interim Mines Minister Fuh Calistus Gentry announced late Tuesday that construction of the railway linking the Nabeba deposit to Kribi will begin in Ntam at the end of August after meeting with Congolese mining officials.
“Together, we can demonstrate to the world the maturity of our two peoples in order to ensure that the Cameroon-Congo mining family lives on,” he said.
Cameroon, according to the minister, has 12 new mining projects, five of which will begin this year. There was no discussion of projects.
Aust-Sino Resources and Bestway Finance signed a memorandum of understanding with Cameroon in 2021 to construct a 500 km (310 mile) rail link capable of transporting 35 million tonnes of high-grade iron ore per year for a decade.
Bestway Finance is based in Hong Kong. Aust-Sino, an Australian mining company, has Chinese board members, according to its website.
With 775 million tonnes of iron ore, Mbalam-Nabeba has yet to begin mining.
Congo Republic revoked Sundance affiliate Congo Iron’s Congolese permit in December 2020 and gave it to Bestway-backed Sangha Mining Development Sasu.
