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The Simandou project is imminently due to become the world’s largest greenfield mining project and the largest ever undertaken on the African continent. This once-in-a-generation megaproject will not only place Guinea on the world stage as a top global producer of high-quality, low impurity iron ore, it will also set a new benchmark for large scale project development throughout the region.
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Rio Tinto awards transport contracts worth over $120m to Guinean suppliers, Africa Transport, AMA and GPC

October 18, 2023

Conakry, Republic of Guinea ─ Rio Tinto today announces the award of new contracts for freight transport to the Guinean companies, Africa Transport, AMA and GPC. These 3 contracts, together valued at $120m, provide for Rio Tinto SimFer’s road freight movement, including specialist and heavy freight over the next three (3) years. There is additional pre-qualification activity with the next tier of local vendors to support the growing local transport requirements for the project. Further detail will be announced as this is finalized.

These local suppliers will be responsible for the movement of freight between Conakry and Canga. Their work will include movement of standard, semi-trailer loads as well as out-of-gauge freight, such as the transport of large, earth-moving equipment.

Africa Transport, AMA and GPC join more than more than 250 Guinean owned and based contractors currently working with Rio Tinto to provide a wide range of goods and services, from engineering and construction expertise, sanitation and catering, through to camp facilities and business premises. This year, Rio Tinto has already spent more than 265 million dollars in Guinea and is strongly committed to developing local content around the Simandou project to maximize economic benefits for Guinea.

The scale and duration of the contracts provide the opportunity for Africa Transport, AMA and GPC to invest in equipment such as new trucks and trailers, and to recruit additional Guinean staff. New drivers will receive training in vehicle operation and transport logistics from senior drivers within the companies who have received specialist training from Mammoet Academy. As the volume of freight movements increases, Rio Tinto SimFer will look to bringing on additional road transport companies, leading to significant job creation as further drivers, mechanics, and logistics workers are trained.

Chris Aitchison, Chief Executive Officer of Rio Tinto SimFer, said:

Working with local suppliers is a key part of our commitment to investing in Guinea, helping to build the nation’s economy. After a rigorous tender process, these companies were selected for their safety credentials, strong employment record, commitment to training and upskilling, and highly professional management. Collaboration with Guinean partners is key realising the potential of the Simandou project and, as we scale up construction works, we look forward to expanding our Guinean supplier network wherever possible.”

With these new contracts and the ongoing progress on the ground, Rio Tinto’s Simandou project has made significant strides and is moving closer to its goal of becoming a world-class mining operation in Guinea, significantly contributing to the local economy and job creation.