After ten years of closure following a rebel attack and complete destruction of the assets of the Sierra Rutile Mining Company limited on 25 January 1995, the one-time economic nerve centre of Sierra Leone, largest employer and biggest tax-payer to government that contributed to about 50% of the total foreign exchange earnings of the government, has been relaunched and is now poised to restart operations.

The President, Alhaji Dr. Ahmad Tejan Kabbah, flew by helicopter to the Sierra Rutile Mines in the Imperi Chiefdom, Bonthe District in Southern Sierra Leone to relaunch the start of operations and refurbishment of the mines.

Welcoming His Excellency and guests at a ceremony held at the mines' football field on Thursday 31st March 2005, the Chief Executive Officer of the mines, Mr. Maxwell E. McGarvie, said the reopening of the mines was a great opportunity for the community and the people of Sierra Leone. He said that Sierra Leone has some of the world's largest and best deposits of rutile. To restart full operations, Mr. Mc Garvie said, will take about eight to nine months, by which time, the company would have employed up to 900 hundred workers, 90% of whom will be Sierra Leoneans.

Minister of Mineral Resources, Mr. Mohamed Swarray Deen, while making a statement at the ceremony said, the mines will restart operations under a new management with new shareholders. He informed the gathering that 75% of the company is now owned by MIL Investment, which is wholly owned by one man, Mr. Jean Raymond Boulle. The Minister expressed confidence that the company will regain its past glory, but advised the management to perform in accordance with international standards and best practice. He also appealed to the company to give priority to former employees and advertise positions where necessary. Minister Deen congratulated the communities affected by the operations of the mines for their long patience.

Mr. Jean Raymond Boulle, principal shareholder of the revitalised Sierra Rutile Company, thanked President Kabbah for fighting hard to bring about a peaceful climate to the country after eleven years of war and for the support given to Sierra Rutile and His Excellency's contribution in rebuilding the country. He assured President Kabbah that Sierra Rutile would not be found wanting in the rebuilding of the nation, and also assured the President of a successful mining operation. Mr. Jean Raymond Boulle paid special thanks to the European Union for their contribution to restarting the mines and all those who have in one way or the other contributed to the reopening of Sierra Rutile Limited.

Giving his keynote address at the ceremony, President Ahmad Tejan Kabbah among other things, said that before the outbreak of the civil war, Sierra Rutile Limited (SRL) was the major source of Government revenue, providing around US$9.4 million annually, 50 per cent of foreign exchange earnings and a major private sector employer with a workforce of 1,800 people. Government, the President said, is committed to supporting this project as it is hoped that this will stimulate the economy and signal the positive environment for foreign investment.

President Kabbah informed his audience that the project has the support of not only the Government of Sierra Leone, but also the European Union (EU) and an American Government Agency, the Overseas Private Investment Corporation (OPIC). The EU, he said, made a grant of Euros 25 million (US$30 million) to the Government of Sierra Leone which was passed on to the company to represent the Government's contribution to the capital of the company. This amount plus interest of 8 per cent per annum would be repaid by Sierra Rutile to the Government of Sierra Leone. The OPIC loan of US$25 million represents a commercial loan to the company. The other shareholders would contribute a further US$14 million to the project. This shows that the Government of Sierra Leone would be making the largest contribution to the start-up capital of the company.

The President expressed thanks on behalf of the Government and people of Sierra Leone to both the EU and OPIC. He said that with this new arrangement, Government will be entitled to earn up to 30 per cent of the profits of the company and an additional representation on the SRL board. In addition to this, President Kabbah said that they anticipate that the company will undertake some processing of the ore locally before exportation, thus adding value, developing skills of our labour force and also generating additional employment opportunities.

Now that peace and political stability have returned to the country, Government, the President said has formulated policies to attract investment in the mining sector, especially for industrial minerals, such as rutile, bauxite and iron ore. This policy initiative has been recognised internationally by Sierra Leone winning the prestigious British Mining Journal Country Award for 2004.

President Kabbah also disclosed that within the next few months, the former SIEROMCO Bauxite Mines will reopen and will create more opportunities for jobs for Sierra Leoneans.

At the end of the ceremony President Kabbah was taken on a tour on the plant site.

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