MONROVIA – At long last, Bomi County Senator Edwin Melvin Snowe has specified his role played in the renegotiation of mining operations of Western Cluster Liberia Limited, with a call on Liberians to desist from politicizing the Memorandum of Understanding (MOU) which triggered the resumption of the company’s operations, rehabilitation of roads and the provision of jobs to hundreds of citizens from the county and other areas.
By Obediah Johnson, [email protected]
Senator Snowe has been heavily criticized by some citizens for not prioritizing their interest when he formed part of a team from the executive branch to negotiate the company’s operations in Bomi, Grand Cape and Gbarpolu counties.
But speaking when he appeared as guest on OK FM 99.5 in Monrovia on Tuesday, January, 10, Senator Snowe disclosed that he accepted a nomination from the county’s legislative caucus to serve as its Representative for the resumption of the operations of Western Cluster due to the need for the county to work along with the government in a bid to “activate something” that will boom economic activities and provide employment opportunities for hundreds of citizens of Bomi.
He pointed out that following his nomination, he intensified efforts to engage the Executive to ensure that the company either relinquish or resume its operations to help address the high rate of unemployment in the county.
Senator Snowe added that the Executive was “extremely magnanimous” to ensure that citizens of the county benefit from the deal.
He said Western Cluster was later contacted, through the Ministry of Mines and Energy, at which time the company clearly stated that it could not make a determination at the time due to the outbreak of the Coronavirus virus pandemic in Liberia.
Following the company’s position, he noted that pressure was again mounted on the government by the Bomi County Legislative caucus for government to exert efforts to ensure that a decision was reached on the matter for the benefit of citizens of the western region.
“We pushed the Ministry of Mines and Energy and the Minister Gesler Murray understood the situation. He met with the legislative caucus and then decided to meet the Western Cluster Board. So, he contacted Western Cluster and they extended us an invitation.”
Senator Snowe recalled that as representative of the Bomi County legislative caucus on the team, he flown along with Minister Murray to India to meet with authorities of the company.
According to him, authorities of the company during the meeting expressed concerns over their inability to settle the US$23M owed the Liberian government in taxes prior to the outbreak of the Ebola Virus Disease.
He noted that the company justified that it had previously notified the government about the shutting down of its operations due to the pandemic and wondered why the Liberian government was still billing it (company) even though it was not engaged into mining activities.
Senator Snowe pointed out that the company appealed that the amount of US$23m owed the government could not be settled, despite objection raised by Minister Murray during the meeting.
He stressed that it was clearly established that Western Cluster did not engage into the export of iron ore as a result of the outbreak of the virus, something which prompted Minister Murray to inform the Liberian government about the position of the company.
According to him, the government justified the need for similar flexibility accorded other companies to be extended to Western Cluster.
Senator Snowe disclosed that he informed the government and authorities of Western Cluster that though the company shut down its operations and notified the government, it still has a “social contract with the three counties” in keeping with the Mineral Development Agreement (MDA) signed with the government in 2011.
He added that the company was requested to fulfill the social agreement with citizens of its operational areas in the tone of US$10M.
Western Cluster raised issues
“The company said they could not pay this money and we said no. if that is the case, relinquish the mine and our people will find another way because, you cannot come back and don’t pay money that you owe us. After a long conversation, Western Cluster said we can pay US$5M now and when we begin our operation after the first shipment, we will pay the balance US$5M.”
Senator Snowe emphasized that the company’s stance at the time was based upon the millions of dollars it spent on the construction of bridges and other projects in Bomi County, without obtaining a Class A mining license during the administration of former President Ellen Johnson-Sirleaf.
He said a confidence crisis and a claim was also raised by the company that it allegedly paid money to the past government for homes and other structures that were to be demolished along the route for the construction of a railway to enable Western Cluster transport its iron ore from Bomi to the Freeport of Monrovia.
According to him, the immediate construction of the road and railway within a period of three years, did not also work for the company during the past administration.
“The company was paying National Port Authority close to US$1M for land rental in the port for all those years and there was nothing. They said there is a confidence crisis here. We cannot continue to pay money and government is asking us to come back and pay and there is nothing. Western Cluster has never shipped iron ore out of Liberia before. They are just loading their first vessel as I speak.”
“After making all those payments under the previous government, Western Cluster was running after their Class A license and they did not get it. They made a very strong case and we said, we can only do these things with understanding.”
Senator Snowe indicated that the company was later requested to work in line with a Memorandum of Understanding (MOU) in keeping with the Mineral Development Agreement signed with the government.
Following the climax of the meeting in India, Senator Snowe disclosed that Minister Murray later informed the relevant authorities of the Liberian government, including the Ministers of State for Presidential Affairs, Finance and Development Planning and Justice, Samuel Tweah, Musa Dean, among others on the outcome of the meeting held in India.
Snowe’s interest
He said the MOU was signed with Western Cluster for the resumption of its operations in the three counties.
“When the MOU was signed, my interest and only interest is to make sure my region and my county is taken care of. So of course, they paid the US$5M to the Government of Liberia about four months ago and the government has acknowledged receipt of the money.”
“The government has said to the counties that the Ministry of Internal Affairs should make the request as per the law and this money will be paid to the three counties.”
Allocation of first US$5M
Senator Snowe disclosed that the amount of US$5M allocated by the company, the government appropriated US$1.5M towards the elevation of the Bomi County Community College to a university status for the western region, US$1M for additional road works, and US$1M for Bomi County sitting.
According to him, the amount of US$750,000 each was allotted to Grand Cape Mount and Gbarpolu counties from the initial US$5M paid by Western Cluster to the Liberian government.
He used the occasion to commend the government for seeing reason to allot the money paid by Western Cluster to the three counties, instead of expending for its operations.
“I went to the county and held extensive consultation, briefed and discussed with everyone including former Speaker Alex Tyler and Senator Richard Divine and others. We got the EPA and Professor Wilson Tarpeh sent a team of professionals to Bomi to give an environmental impact assessment and they did a whole presentation. We had town hall meeting and all the stakeholders including chiefs, traditional leaders, and commissioners were present there and we explained everything to our people.”
Senator Snowe said Western Cluster will also establish a TVET skills training program for young people in the three counties and make meaningful contributions to the Geology Department at the state-owned University of Liberia.
Transporting ores by road
Senator Snowe added that citizens of the county were informed that the company could not construct the railway now and as such, iron ores being mined will be transported by road.
“For the safety of our people, we told them that the ores will be transported at night after 7PM and it will be monitored. Besides that, they will have a road permit drawn up by the Ministry of Public Works or the law enforcement agencies on the safety regulations and how to proceed. For me, I want this deal as a win-win for my people and Bomi County.”
He justified that the MDA signed by the UP government and Western Cluster calls for the transporting of iron ores by the company via road for a three-year period taking into consideration the environmental impact assessment and the construction of a new port between Grand Cape Mount and Bomi.
“It is not this government that is allowing Western Cluster to truck the ores; it’s in the MDA. How can you hold me responsible for something that I did not sign? I did not sign the MDA. I only went to talk about the interest of Bomi, Grand Cape Mount and Gbarpolu counties for our social money to be paid. How can we be wicked to each other? Where this politics is coming from that we negotiated a bad deal-only God knows.”
Senator Snowe disclosed that the decision taken by the government along with the caucus to ensure that Western Cluster transport iron ore via road is intended to help address the numerous challenges citizens of the region are faced with.
He stressed that it is prudent for the company to continue to abide by all of the safety regulations while transporting iron ore, following the completion of the construction of a railway.
“It is challenging for our people and everything that we did or say here is in full support of the legislative caucus of Bomi County.”
I didn’t sign MOU
“Western Cluster has an MDA that was signed and ratified by the National Legislature in 2011 and so, there is an existing MDA. The MOU that we are talking about, some people are saying it’s unconstitutional, that’s an argument. I didn’t sign the MOU and so, I can’t speak for the MOU. The MOU was signed by the Minister of Justice who is a sound lawyer; the Minister of Finance signed and acknowledged that they have notified the government that they were shutting down and they were going to pay the money to the counties; the Minister of Mines also signed the MOU; the NIC Chair also signed the MOU.”
He emphasized that Western Cluster already has an existing MDA with the Liberian government, but the MOU signed was intended to “put time-bound for them to recommence.”
He noted that the company has set aside the amount of US$4.5M for the rehabilitation of the road from Po River to the Freeport of Monrovia, in additional to the US$1.9M for the road from Po River to Tubmanburg .
Senator Snowe disclosed that the road construction works are currently being executed by the West Africa Construction Company.
According to him, the amount of US$1.5M was made towards the ongoing works by Western Cluster, while the remaining was provided by the government from the National Road Fund account.
Senator Snowe recalled that following the recommencement of its operations, the legislative caucus of Bomi recommended former Superintendent Samuel Brown to serve as Human Resource Manager, District Commissioner of Senjeh district and the Youth Chairman of Bomi Lahai Fahnbulleh and others for additional key positions at the company.
“I wonder those who demonize me can go to bed in the night and sleep sound. I did everything with clean hands and heart and God knows my conscious. I fought for my people, but unfortunately some of the people that we fought for are the ones saying the deal is not a good one and they do not want the MOU.”
He denied reports that the company is using deplorable vehicles to transport its workers to and from the mine and houses in its operating areas are experiencing cracks as a result of the blasting of the mine.
Keeping company’ feet to the fire
Senator Snowe, however, vowed to continue to “keep the feet of Western Cluster to the fire” to ensure that the right things are done for the benefit of the citizens.
He observed that most of the issues raised by the locals in the latest resolution issued against the operations of the company are germane.
He warned that though he and other members of the caucus are not against the hiring of other professional Liberians to work in the employ of Western Cluster, citizens of Bomi, especially women that are engaged into catering services, must be given preference.
Senator Snowe termed as unacceptable the outsourcing of most of the company’s operations, including trucking and mining to a Ghanaian and other companies is unacceptable.
“Our people need jobs and we’ve said to Western Cluster, you have to accelerate and create jobs for our people. This is a county that has no economic activity and you can’t come here and be operating and up to now you only have 247 persons in your overall operations. Our women here are good chefs. You can’t leave them here and go way Monrovia to look for catering service. Some of their concerns are legitimate and I agree with them. But the politics and undertone is what that is bothering us.”
“Government of Liberia has a contract with Western Cluster and not with these sub-contractors. And so, our people should be under the protection of Western Cluster. Those are concerns our people are raising and we’re going to stand by them. Out of the 247 employees they have, about 108 come from Bomi and the rest are from across Liberia and 36 are foreigners. This is a foreign-direct investment, and you can’t tell someone bringing company not to bring foreigners.”
Senator Snowe urged the citizens not to adhere to calls being made by others to set road blocks to prevent Western Cluster from transporting iron ores to Monrovia.
He said citizens should find amicable solutions to their grievances, instead of engaging into acts of violence to send out a wrong signal of the county and Liberia at large to the outside world.
Taking responsibility
“The politics surrounding this is so discouraging and disheartening, but we are leaders for our people. We take the responsibility. We need Western Cluster to do more for our people, but you cannot classify us to be criminals for what we did for our people. I refuse it because, we did an excellent job. I will continue to fight and stand up for my people.”
He further supported the revision of the MDA Western Cluster signed with the government to help address present day realities.
Senator Snowe promised not to relent to compel the company to abide by both the MDA and MOU to guarantee a win-win situation for everyone.
He said though members of the Bomi County legislative caucus will continue to “absorb pressure” and find solutions to concerns being raised by the citizens, they (lawmakers) will not engage into acts to scare away investors from the county.
He noted that the caucus will ensure that the relevant authorities are contacted to intervene swiftly if Western Cluster violates the MOU and MDA signed with the government.
The assertions made by Senator Snowe comes barely few days after aggrieved citizens of Bomi County demanded the cancellation of the Memorandum of Understanding (MOU) signed between the Government of Liberia and Western Cluster for resumption of mining operations in the county due to the high level of deceits from their Representatives and Senators in a resolution signed and submitted to their lawmakers.
It can be recalled that on Wednesday, June 8, 2022, Western Cluster broke grounds to recommence its operations in Bomi. The ground breaking ceremony came barely few days after the government signed a Memorandum of Understanding with the company.
The MOU was signed following the failure of the company to implement the Mineral Development Agreement (MDA) it signed with the government in 2010 due to the outbreak of the Ebola virus and the drop in the price of iron ore on the world market. The MOU gives the company the right to operate at three iron ore deposits, including the Bomi Hills Mines, in Bomi, Grand Cape Mount, and Gbarpolu Counties.
But in a ten-count resolution, a copy which is in the possession of FrontPage Africa, aggrieved citizens of Bomi under the banner Bomi County United Concerned Citizens, claimed that authorities of Western Cluster and their legislative caucus have miserably failed to provide the necessary information on the operations of the company and what they stand to benefit as a county and people.
The aggrieved citizens, including Paramount, Clan, Town Chiefs and Youth Leaders affixed their signatures to the resolution following the climax of a mass meeting held in Klay Town on January 7.
The issues
The citizens complained that their rights mentioned above curtailed, restricted or enjoined by the Bomi Legislative Caucus, Western Cluster Liberia Limited and Baichiko Mining Company operating in the county.
They recalled that upon the return of Western Cluster to their county, a citizen stakeholder engagement meeting was held at the Multi-purpose Building in Tubmanburg, with the county’s legislative caucus reintroducing the company to them.
“We were assured to be provided more or detailed information about the company’s operations including MOU and citizens’ participation in the plan of the company’s operations in our county.”
But on the contrary, the aggrieved Bomi citizens added, that, Western Cluster has allegedly ignored all of these arrangements, even though they have presented series of communications to the company to raise their concerns.
They claimed to have officially written the company on August 7, December 9 and 27 of last year respectively.
In the resolution, the aggrieved citizens called for the signed Memorandum of Understanding (MOU) between the government and the Western Cluster to be replaced with the 2011 Mineral Development Agreement (MDA) the company signed with the government during the administration of former Liberian President Ellen Johnson Sirleaf.
They further called for the full implementation of the 2011 MDA by the company in keeping with Article 34 D (i) of the Liberian constitution which states that: “all revenue bills, whether subsidies, charges, import duties or taxes and other financial bills shall originate from the House of Representatives.”
They claimed that the current MOU being used by Western Cluster to resume its operations is illegal.
The aggrieved citizens called for the company to allocate benefits for all the affected communities as outlined in the 2011 MDA.
“At the onset of the Western Cluster operation, we were informed by Bomi County Caucus members of the upper House that Western Cluster Liberia contributed the amount of US$5million to the Government of Liberia, of which US$3.5million was allotted to Bomi County. Up to present, this amount has not been remitted to our County Development Account.”
The aggrieved citizens pointed out that as per the 2008 National Population and Housing Census, the population of Bomi stands at a little over 84,000 residents, with a high rate of unemployment, adding that, they anticipated the presence of Western Cluster in the region to reduce the high rate of unemployment and bring relief to them.
They maintained that since the inception of the multi-million dollars company in their Bomi, they are yet to feel the employment impact on the citizens.
They disclosed that those who are presently among the workforce at the company are yet to gain full employment status.
“During the introduction of the company at the multipurpose building, the Caucus informed us that there was an ongoing environmental impact assessment by relevant EPA authority. Up to date, that environmental impact assessment is yet to be made known to citizens of Bomi County.”
The aggrieved citizens noted that though the assessment report is yet to be made public, nothing is being done by Western Cluster and their Legislative Caucus to guarantee their health and safety.
They emphasized that despite the operations of the multi-million dollars company in their county, the current health system of Bomi remains deplorable.
They called for the signing of a Memorandum of Understanding to compel the company to make allocation towards the improvement of the healthcare system in the county.
The aggrieved citizens further recalled that the 2011 MDA signed between the government and Western Cluster mandates the company to build the capacity of youths in its operational area, through the provision of skill training programs, but up to present, nothing is being done to actualize this portion of the agreement.
They stated that though their Representatives And Senators informed them that all registered catering institutions in Tubmanburg will receive contract for catering services, no women group or any catering firm in the county has been hired.
According to them, women from other areas are allegedly hired by the company to carry out catering services, leaving women groups and other caterers without jobs in the county.
“The employment of citizens of Bomi County can’t be compromised; therefore, we are requesting immediately, that Western Cluster begin employing citizens of the county beginning with the immediate affected communities around the mining site. We are also demanding that there be a committee that will vet our citizens for employment in the county which shall be referred to as the Land Representative Committee (LRC) as being done in other parts of the county.”
They want Western Cluster to also employ a Community Relation Officer that will tour the affected communities and give feedback on environmental and psychological hazard that the blasting is causing to our people.
Another company commencing operations
Meanwhile, citizens of Bomi County have alarmed over what they termed as “troubling news” surrounding the investment of another company in their county without their consent.
They claimed that the Baichiko Mining Company, which is operating in Gbarpolu County, is being spotted opening roads through Suehn Mecca, Tehr and Dewein districts in Bomi.
They added that their Legislative Caucus has failed to provide them information on the company’s operations in the county.
“However, there is information that there is an MDA that allowed Baichiko to move their ore through Bong County to Grand Bassa County with stipulated social benefits to Bong and Grand Bassa counties. Given the current arrangement to pass through Bomi to Po River, our questions now are, who initiated this arrangement? What does Bomi stands to benefit when Caucus members at the upper House are shifting blame on one another on this?”
They further gave a three-day ultimatum to their county’s legislative caucus and the managements of Western Cluster Liberia Limited and Baichiko Mining Company to address the issues raised by them.
The aggrieved citizens warned that the failure of their lawmakers and other relevant stakeholders to address these concerns from now to January 12, they will stage a peaceful protest since “this is the only language the government understands.”