Axis International Ltd is seeking $28.9 billion from Guinea at a World Bank tribunal after the West African country revoked its permit to operate a bauxite mine there earlier this year, the United Arab Emirates-based company said on Monday.
Guinea, which has the world’s largest reserves of bauxite, has moved over the past year to tighten state regulation over the mining sector, revoking and reallocating some permits as it seeks higher revenues and more local processing.
The arbitration challenge was filed at the World Bank’s International Centre for Settlement of Investment Disputes.
Guinea’s government did not immediately respond to a request for comment, though the administration of transitional President Mamady Doumbouya has been vocal about leveraging the country’s natural resources to directly benefit the people.
Axis International owns 85% of Axis Minerals Resources SA, a Guinean company with rights to a bauxite mine in the Boffa region.
The company said in its statement that the permit was terminated in May along with dozens of others.
Axis International said that while the government claimed the mine was not operational or underutilised, it was operating at scale and supporting thousands of workers.
The company said damages were calculated with reference to “proven reserves”, which it put at more than 800 million metric tonnes.
The mine produced 18 million metric tonnes of bauxite in 2024, making it Guinea’s second-largest source of bauxite ore exports, the company said.
SOURCE:Reuters