Singapore-backed iron ore mine in Guinea set to begin production this year
Simandou mining project to produce 120m tonnes of iron ore annually
A giant iron ore mine, said to be the largest mining project ever undertaken in Africa, is on track to ship its first ore by the end of the year, marking a major milestone for Singapore’s private sector engagement in Africa. The Simandou mine located in the west African republic of Guinea is being developed by a consortium led by Winning International Group, a Chinese mine-to-shipping conglomerate based in Singapore.
The Simandou project – home to the world’s largest untapped reserve of high-grade iron ore – has long been delayed by political instability, ownership disputes and corruption allegations. Gerard Rheinberger, managing director of Rio Tinto’s Simandou operations told delegates at the Africa CEO Forum in Cote d’Ivoire this month that the US$11.6bn venture is set to begin production by the end of 2025.
Winning was awarded the rights to develop the northern concession of the Simandou project in 2019. Its involvement unlocked the required rail and port investment which is essential to move the iron ore from the mine to the port. Winning Consortium had earlier confirmed that said the mine rail was scheduled for commissioning in November.
Located in the Simandou mountain range in southeastern Guinea, the mining concession is divided into four blocks. Blocks 1 and 2 are being developed by the Winning Consortium Simandou, a partnership between Singapore’s Winning Group – a diversified conglomerate involved in shipping, mining and railway construction – and China Shandong Weiqiao Group and the state-owned China Baowu Steel Group. Blocks 3 and 4 are held by Rio Tinto Simfer, a joint venture between Rio Tinto, China’s Chalco Iron Ore Holdings, and the Government of Guinea. Together, the two sites are projected to produce 120m tonnes of iron ore annually.
Both consortiums are part of a joint venture that will own and operate a railway line spanning 600km as well as new port facilities on the southern coast. The railway includes 12 stations, 206 bridges and four tunnels. The port infrastructure will comprise a transhipment terminal and a barge facility, each designed to handle 60m tonnes of iron ore annually. Although the Simandou project is said to be a game-changer for Guinea, unlocking huge potential in iron ore production, trade, and infrastructure, it is unlikely to transform the structural deficiency of the extraction industry that keeps resource rich countries like Guinea at the very bottom of the value chain. Few doubt that most of the iron ore produced from the Simandou project is expected to go to China for further processing. The NTU-SBF Centre for African Studies published a comprehensive report on the Simandou project in July 2024. Click here to find out more.
At the Africa CEO Forum, Rheinberger said the railway is designed to serve not only the mine but also provide passenger and other freight services. He noted that this could support broader economic development along the corridor, including agriculture, textiles and additional mining operations.
Rheinberger also pointed out that across Africa, many mineral deposits are located far from infrastructure, making projects commercially unviable. Simandou’s integrated logistics model, he suggested, could offer a blueprint for unlocking similar resource projects elsewhere on the continent.
While challenges like political instability remain, its 600km railway and modern port make it a key player in Africa’s resource sector. For investors, success depends on transparent governance, strong partnerships, and smart infrastructure investment, shaping Guinea’s future in the international iron ore commodity market.
References
'Simandou: Is Africa’s biggest mining project finally ready to go?', African Business, 02 February 2024
'Rio Tinto's Guinea iron-ore mine and infrastructure project clears all regulatory hurdles', Mining Weekly, 16 July 2024
‘Guinea's vast Simandou mine on track to start delivering for Chinese investors’, South China Morning Post, 05 February 2025
'LinkedIn post', Winning Consortium Simandou, May 2025
'Simandou', Rio Tinto, Accessed on 23 May 2025
'Railway', Winning Consortium Simandou, Accessed on 23 May 2025
'Port', Winning Consortium Simandou', Accessed on 23 May 2025
‘The World Bank in Guinea’, World Bank Group, Accessed on 23 May 2025
