Kingho, Gov’t sign Railway & Port Lease Agreement
Management of Kingho Investment Company Limited has on Friday January 8, 2020 signed a railway and port lease agreement with the government to enable the company’s subsidiary- Kingho Railway and Port Company Limited utilize the infrastructure for their iron ore transportation in the country.
The 192 kilometer railway facility which stretches from the new Iron Ore mines in Tonkolili District to the port town of Pepel in Port Loko District is owned by the Government of Sierra Leone (GoSL). In order to enhance effective transportation of the iron ore from the mining site in Tonkolili to be transported out of the country, Kingho has to lease the railway and port facilities from the GoSL.
The signing of the agreement now gives the company the right to operate the railway and port facility for the transportation of Iron Ore out of the country. The company will also commercialize the use of the railway and port to other potential users along the railway and port corridor after the completion of multi-million dollar restoration and expansion work.
Chief Executive officer (CEO) of Kingho Investment Company Limited, Gilbert Zhao registered his thanks and appreciation to the government for the successful signing ceremony.
“The fulfillment of this agreement proves that Kingho is here to do business and in the right way,” Mr. Zhao said and added: “The company is trying to build a solid foundation of our success on compliance to all government and local regulations and laws and in a transparent manner for the benefit of the company and the people of Sierra Leone.”
He assured that the company was ready to work strictly under the guidelines of the agreement and to fulfill all its obligations.
Minister of Mines and Mineral Resources, Timothy Kabba noted that the lease signing agreement is a way of showcasing government’s support to enabling a very good working atmosphere for investors.
It could be recalled that in September 2020, the Government of Sierra Leone through the Ministry of Mines and Mineral Resources handed over the New Tonkolili Iron Ore Project to Kingho Mining Company Limited. Both Kingho Mining Company Limited and Kingho Railway and Port Company Limited are subsidiaries of the parent body Kingho Investment Company Limited, which itself is headed by the CEO, Gilbert Zhao.