The_Open_Door_deel1

DELIMCO/B.M.C.
-235-
Long-standing German interests in Liberian iron ore
German interest in iron ore from the West African Republic of
Liberia is nearly as old as the commercial iron ore mining
activities in this country- Through the Dutch company of Muller
a considerable portion of the Bomi Hills area had found its way
to the steel works in the Ruhr Area of West-Germany and the start
of the mining operations in Nimba had been greatly facilitated
by the long term sales contract concluded with German buyers.
With a growing demand for ore and its derivatives by the German
industry a gradual change became noticeable in the German
attitude towards the supply of raw materials needed for its
booming industry of the 195O's. Instead of buying from other
producers investments were made in mining operations with a view
to reducing the dependency from outside suppliers and achieving a
relatively guaranteed supply of the ore needed for the industry.
Reference to this tendency was made in Chapter 7.
In 1957 German steel producers, represented by "Gewerkschaft
Exploration" from Dlisseldorf, West Germany, contacted the
Liberian Government with the aim of negotiating possible
investments in the country's vast Iron ore reserves. The ore
deposit which had been abandoned by LAMCO after the discovery of
the rich Nimba ore deposits first drew the attention of the
Germans and the development of the Putu ore deposits was
seriously considered. Simultaneously, however, they showed an
interest in an ore deposit which had been reported in 1934 - 35
by the Holland Syndicate (77)- This deposit, located in the Bong
Range - 50 miles north-east of Monrovia - compared favourably
with the Putu deposits. Both deposits were fairly similar as to
types of ore and composition. The disadvantage of the Putu ore
was not so much the quantity of the deposit as the fact that the
Putu Range is located at some 120 miles' distance from the coast,
in the South-Eastern part of the country, in an area covered by
high bush. There were only a few places - especially in the
valleys - where "low bush" was to be found. To make things worse,
there was no well-equiped port on this part of the coast.
Therefore, because of insufficient infrastructure in an area
difficult of access, the German prospective investors abandoned
their plans for the further investigation of this area and
concentrated their efforts on the Bong Range (78).
Early in 1958 the German interest in the Bong Range conflicted
with the Swedish investors' desire to include this area in
LAMCO's concession area. LAMCO had already filed a claim
covering this Range but the Government had postponed the formal
acceptance of the claim and, subsequently, had entered into
negotiations with Gewerkschaft Exploration for the conclusion of
a mining concession agreement for this area (79 )• The subsequent
dispute between LAMCO and the Germans was won by Gewerkschaft