Koidu Pledges Cooperation with Sierra Leone Inquiry Commission

Koidu Holdings is urging a Sierra Leone Commission of Inquiry to conduct a thorough and expeditious review of illegal mining activities in the areas that surround its Koidu Kimberlite project site, pledging its cooperation with the proceedings.

Sierra Leone’s government decided on the inquiry after a number of protestors were killed in clashes with police officers. The clashes were sparked by what the government dubbed as “discontent” between the Koidu Holdings Mining Company and area residents.

Mining operations were suspended at the mining site and a 10 pm to 6 am curfew was declared.

“Koidu Holdings has offered its full cooperation to the Commission of Inquiry,” said Patrick Saada, a company director. “It is our hope that the Commission can work expeditiously and in the best interests of all of the stakeholders – the community, the workers and the nation – so that the mining operations of Koidu Holdings can resume as quickly as possible at this site.”

The mining firm said that in recent months, it has increasingly expressed concerns to government officials about "a dramatic deterioration of security" and an encroachment of illicit diamond miners into the Koidu Kimberlite Project site.

The Koidu Kimberlite project, the single largest private foreign investment in post-war in Sierra Leone and its largest taxpayer, is owned by Beny Steinmetz's BSG Resources (65 percent) and Magma Diamond Resources.

The miner said it stopped all activities at the project because it could no longer be certain of the safety of its personnel and equipment.

“We are asking for the Government’s support in establishing a safe working environment for the workers on this project,” Saada said.

“Because operations have been suspended by government order during the inquiry, much of the local workforce is in danger of being laid off, which could harm the economic health and well being of the surrounding community,” Saada added.