Gabon cancels Chinese firm's mining licence

LIBREVILLE - Gabon has cancelled a mining licence issued to a Chinese firm and taken over the entire social capital in Belinga mining company (Comibel) involved iron ore operations in the Central African country's northeast region.

Presidential spokesman Alain Claude Bille By Nze made the revelation Friday at the weekly press briefing, saying President Ali Bongo "has instructed the government to re-examine the agreement for iron ore mining in Belinga" signed with Comibel, in which a Chinese firm CMEC has a 75 percent stake.

"The negotiations which were led on the Gabonese part by the Mines and Industry minister, enabled the two parties to find an amicable way to cancel the said agreement," he said.

The Gabonese government would reimburse $33.9 million Comibel and its partners had spent in carrying out feasibility studies and other expenses related to the mining site, the spokesman said.