Guinea Lawmakers Approve WA-LNG Group $3 Billion Gas Project

(Bloomberg) -- Lawmakers in Guinea’s transition administration approved an agreement signed last year between the government and West Africa LNG Group, paving the way for a potential $3 billion investment in liquefied natural gas import infrastructure.

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West Africa LNG, or WA-LNG, is proposing to build an LNG terminal at the port of Kamsar as part of efforts to spur the development of Guinea’s mining industry. Plans also include construction of a 1,800-megawatt gas-fired plant to power proposed alumina refineries, Energy and Hydrocarbons Minister Aboubacar Camara said in a speech in parliament.

The approval by lawmakers gives WA-LNG the green light to launch the project as soon as the country’s transition president, General Mamadi Doumbouya, endorses parliament’s decision, parliamentary spokeswoman Saran Traore said. The terms provide for work to start not later than three years after securing approval, she said.

Guinea is among the world’s top producers of bauxite, a raw material used to produce aluminum. The country also produces gold and has the world’s largest untapped deposit of iron ore. Mining companies generate most of their own energy using fossil fuel-fired thermal plants.

The project is expected to transform the country’s mining, agriculture and residential sectors through the provision of commercial quantities of affordable LNG. There’s more than 2,000 megawatts of energy demand from the bauxite industry alone within a 100-mile radius of the terminal’s location, according to a feasibility study funded by the US Trade and Development Agency.

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