By Devon Maylie
CAPE TOWN--Guinea's ministry of mining resources is identifying
funding to develop an infrastructure project that will determine
how quickly big iron ore projects develop, the mining minister said
Wednesday.
The country's iron ore mines need about $16 billion worth of
rail and port development for them to be able to begin exporting,
Mohamed Fofana said on the sidelines of the Indaba mining
conference.
Major companies in Guinea include Vale SA (VALE), which has
partnered with privately owned BSG Resources Ltd. to develop the
Simandou iron ore project. Vale said it is waiting for clarity on
key logistical parameters before going ahead with its
investment.
Rio Tinto PLC (RIO) and Aluminum Corp. of China Ltd. (ACH)
jointly are also developing their own iron ore project in the
country.
Mr. Fofana said the country has two main options--raising money
in the financial markets or finding a company to build and operate
the plant through which mining companies can go. He said the
ministry is in discussions over the latter option, but declined to
say who possible companies would be.
Write to Devon Maylie at devon.maylie@dowjones.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires