On Tuesday, June 17, 2025, the Plenary of the Liberian Senate mandated the Committees on Concession and Investment, Public Works, and Mines and Energy to investigate the US$1.4 billion iron ore processing plant constructed by ArcelorMittal in Yekapa, Nimba County.
This decision arose from a communication by Senator Nya D. Twayen of Nimba County, who requested that the Joint Committees look into the actual cost of the processing plant. Senator Twayen emphasized the need for the committees to summon several key figures, including the Chairman of the National Investment Commission (NIC), the Minister of Public Works, the Minister of Mines and Energy, and the Country Representative or Chief Executive of ArcelorMittal Liberia (AML).
“This urgent inquiry is necessary to verify and establish the actual cost of the iron ore processing plant recently built by ArcelorMittal Liberia in Yekepa, Nimba County,” he explained.
Senator Twayen noted that, according to public disclosures and corporate records, ArcelorMittal Liberia claims an estimated investment of US$1.4 billion spread over four years. This amounts to approximately US$350 million per year, recorded as an expense in their Profit and Loss account.
Given the Corporate Income Tax (CIT) rate of 35%, these expenses translate to an estimated annual loss of USS123 million in potential government tax revenue. “What makes this situation more concerning is that AML has consistently reported operating losses over the years. These newly declared capital investments will likely exacerbate the trend of reported losses. As a result, not only will AML avoid paying CIT currently, but these inflated losses will be carried forward, further decreasing any future profits upon which CIT could be assessed,” he noted.
He expressed concern that this tactic effectively shifts financial benefits away from the Liberian people, especially those in Nimba County, which hosts the resource, and extends a prolonged tax shield for the concessionaire. With the depletion of Liberia’s finite iron ore resources looming, there is legitimate fear that the country will not receive meaningful revenue from this project before the end of the concession period.
Senator Twayen called on the Senate plenary to urgently mandate the relevant committees to investigate and audit the actual cost of the iron ore processing plant, assess its alignment with ArcelorMittal’s contractual obligations, and evaluate the tax and economic implications for the Government of Liberia.
