Israeli Billionaire To Stand Trial For Alleged Corruption In Guinea Mining Sector

Prosecutors in Geneva have confirmed that Israeli billionaire Beny Steinmetz will stand trial for allegedly paying $10 million in bribes to secure mining licenses in Guinea. 

The charges relate to 2005 and alleged payments made to one of the wives of the former Guinean President Lansana Conte in order to secure mining rights in Simandou for the Beny Steinmetz Group Resources (BSG Resources).

Steinmetz will face trial in Switzerland alongside two of his colleagues. The date for the trial is yet to be announced.

Simandou in Guinea is the world’s largest undeveloped iron ore deposit. The Government of Guinea launched an international tender for block 1 and 2 in mid-July in a bid to advance the site’s development. The blocks became available again last year after BSG Resources relinquished its claims to the concessions. Australian miner Rio Tinto holds a 45% stake in blocks 3 and 4 of the deposit, which it has been looking to sell.