Steinmetz-Vale venture may lose Guinea mine rights

Published April 9, 2014 6:44pm ET



CONAKRY, Guinea (AP) — A watchdog in Guinea urged the government on Wednesday to revoke the mining rights to one of the largest untapped iron ore deposits in the world, a deal that is also under investigation in the U.S.

The state-sponsored committee for reviewing mining concessions said an 18-month-long investigation found evidence that the rights to exploit the Simandou and Zogota deposits were obtained through corrupt practices. In its report, the committee specifically accuses representatives of Israeli billionaire Beny Steinmetz’s energy company, BSG Resources, of promising bribes in exchange for exploitation rights.

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