• Guinea’s government terminated its deal with Emirates Global Aluminium’s (EGA) subsidiary, triggering over 2,000 job cuts.

• The dispute centers on EGA’s alleged failure to build an alumina refinery as required by Guinea’s push for local mineral processing.

• Other companies, such as China’s SPIC, are advancing their own alumina refinery projects in Guinea, signaling a shift in the country’s mining sector.

Tensions between governments and mining companies have rocked West Africa’s job market in recent months. In April, a dispute between Barrick Mining and Mali’s government forced subcontractors to lay off workers. Now, Guinea faces its own crisis.

On July 10, Guinea Alumina Corporation (GAC), the Guinean arm of Emirates Global Aluminium (EGA), announced plans for mass layoffs. GAC said it will initially cut more than 2,000 employees and subcontractors. The company blamed the move on an intensifying dispute with Guinea’s government over the construction of an alumina refinery.

Guinea, the world’s second-largest bauxite producer, wants to climb the value chain. The government demands that companies build local alumina plants to process the ore into higher-value products. GAC committed to building a refinery capable of producing 1.2 million tonnes per year, with a target completion date in 2026. However, disagreements over the project’s progress erupted in 2024. The government blocked GAC’s bauxite exports and then halted mining operations entirely.

Authorities accused GAC of failing to meet its construction promises. GAC countered in a press release by stating that Conakry had wrongfully declared the termination of their agreement, though the company did not provide further details. This standoff triggered the wave of layoffs. Since its launch, GAC’s mine created 3,200 jobs—96% held by Guinean nationals.

The company warned that the layoffs could be just the beginning. According to GAC, the future of the remaining employees is uncertain. The company plans to fight the government’s decision in international courts but has not commented on the refinery’s fate.

Meanwhile, other players are making headway. In March, Chinese giant SPIC began building a new alumina plant in Boffa. 

This article was initially published in French by Aurel Sèdjro Houenou

Edited in English by Ange Jason Quenum