After nearly 20 years of setbacks, 10 law firms are advising on the development of the world’s largest untapped iron ore mine in Simandou, Guinea, valued at USD20 billion.
Watson Farley & Williams, King & Wood Mallesons, Norton Rose Fulbright, Hogan Lovells, Thiam & Associés, Clifford Chance, Linklaters, Allens, ADNA Law Firm, and DLA Piper are counselling on the transaction.
The Simandou project, backed by China Baowu and Rio Tinto, comprises both northern and southern mining areas. The northern region is being developed through a joint venture between the world’s largest steel producer, China Baowu, and the Winning Consortium Simandou (WCS), a partnership of Winning International Group of Singapore and China Shandong Weiqiao Group. The southern area is under the development of Simfer, a joint venture between Rio Tinto, the world’s second largest iron ore group, and Chalco Iron Ore Holdings.
On completion, all jointly developed infrastructure and rolling stock will be transferred to the Compagnie du Transguinéen (CTG) joint venture, in which Simfer and WCS will each own a 42.5% equity stake and the Guinean government a 15% equity stake.
WFW’s Dubai-based partner Alhassane Barry led a team advising the Guinean government, with support from partners Jan Mellmann, Arnaud Troizier, Sarah Ellington, Nick Walker, Chris Kilburn, Richard Stephens, Franck Poindessault, Romain Girtanner, Daniel Pilarski and Mhairi Garcia.
KWM, led by partners Zhang Yongliang and George Zhao, acted for WCS, with assistance from banking and finance partner Zhou Jie, Singapore-based partner David Phua and Australia and other overseas offices.
Norton Rose leading partner Christophe Asselineau also advised WCS.
Baba Hady Thiam, managing partner at Thiam & Associés in Guinea, and Xu Liang, partner at Hogan Lovells in Beijing, led the respective teams advising China Baowu.
Clifford Chance, Linklaters, Allens and ADNA advised Rio Tinto.
DLA Piper counselled Chalco Iron Ore, led by China energy head Carolyn Dong, Asia energy head Russell Wilkinson and partner Karim Maalioun. Other team members included partners Neil Macdonald, Alex Jones, Daniel Colgan, Cheng Ting Lun, Fang Xin, Jeremy Andrews, head of China tax Tina Xia and China head of international arbitration Chen Xiaoshan.
Located in southeastern Guinea, the Simandou project is one of the largest and highest-quality undeveloped iron ore deposits in the world. Since Rio Tinto acquired mining rights in 2006, the project has experienced significant challenges, including political instability, multiple changes in ownership and allegations of bribery involving Guinean officials.
