Monrovia – Senators, including
Report by Henry Karmo, [email protected]
The Senate took a ‘yea and nay vote’ to ratify the concession agreement. But some members of the Senate argued that the concession is not strange to the Senate and that it has been there so they were familiar with the wordings.
In a very furious mood, Senator Brown said, “The ratification of important concession that would impact the lives of ordinary citizens requires in-depth debate on the pros and cons to give the public a better understanding about what the concessionaire will be required to do and their limitations.”
The Senate took a ‘yea and nay vote’ to ratify the concession agreement resubmitted by the President after he had earlier disproved and vetoed the agreement some months ago.
“How ridiculous we are turning this Senate into? Today should have been the second reading follow by a debate in accordance with our rules.
“I am disappointed in the process and those that signed the report and voted ‘yea’ knowing that this Mineral Development Agreement is for 25 years covering four counties. We as senators should not be passing law in these forms and manners.
“We needed to discuss whether this agreement conforms to the newly passed land right act. This agreement was vetoed by the President. We needed to look at the changes made by the Executive. This agreement was sent Tuesday, Wednesday, we were in impeachment hearing and today it is on the floor and passed? This is disgusting,” Sen. Brown ranted.
Like Brown, Senator Sando Johnson believed the Senate is proceeding wrongly and with such attitude the public might not take them seriously. “I am disappointed in the way things are being handled. The opportunity I have to read the document, the Public may not have that opportunity so we needed to discuss it in the public.”
The passage of the agreement on Thursday, February 28, was necessitated by a report from the Senate’s Committee on Energy, Natural Resources and Environment headed by Lofa County Senator George Tamba Tengbeh recommending ratification of the agreement. The Agreement between the Government of Liberia and the Britain-based Hummingbird Resources Inc. is estimated at US$250 million agreement to develop the largest gold mine in the country.
The contract entitled, ‘Gold-Mineral Development Agreement,’ will be implemented mainly in Liberia’s gold fields in the southeast of the country for a period of 25 years. The Hummingbird project, which will operate across Sinoe, Grand Kru, River Gee and Maryland counties, is expected to bring further benefits to other counties in the southeast which have been isolated in terms of economic activities.
Following ratification and publication of the agreement into law, Hummingbird will pay a signature fee of US$3 million to the Government of Liberia, with US$1.5 million to be paid within 15 days of the effective date and thereafter, US$1.5 million to obtain the license.
A royalty of three percent is given to the Government of Liberia on gold revenues. The agreement also allows 10% percent shares for Liberians. Hummingbird is at the time expected to pay all other taxes and duties as set out in a fiscal agreement. The key benefits as of the Hummingbird Agreement include jobs of which over 1,000 direct jobs and around 2,500 indirect jobs will be provided. The Agreement is expected to be forward to the House of Representatives for concurrence and subsequently submitted to the Chief Executive for approval.
In a communication, dated July 3, 2018, which reached the Senate’s Chamber as that body was going for executive session, the President stated: “In view of my disapproval of this Act as provided for in Article 35 of the Constitution of Liberia, I herewith return to your honorable body the said Act. However, I look forward to working with the Legislature in future.”
Further in the communication, President Weah informed the lawmakers that the Act sent to his Office was reviewed by the Special Presidential Concessions Review Committee, and that it derived the overall conclusion that while the agreement is appreciably conscious of the need for a fair business arrangement, few critical aspects needed reconsideration in order to bring a protracted benefit with mutual balance for each of the comparing parties.
In its past form, President Weah said the agreement needed modification in two parts including the authentication of the document.