Capitol Hill, Monrovia – Lawmakers at the Liberian Senate have turned their attention to a controversial US$1.4 billion investment claim by ArcelorMittal Liberia (AML) for its iron ore processing plant in Yekepa, Nimba County. Nimba County Senator Nya D. Twayen, Jr. has sparked a full-scale legislative investigation, describing the claimed investment as “inflated” and potentially detrimental to Liberia’s long-term economic interests.
During Thursday’s Senate sitting, Senator Twayen submitted a formal communication calling on the Legislature to probe what he views as a suspiciously overstated investment in the facility, which he fears could be part of a pattern of financial practices designed to avoid tax obligations and profit-sharing commitments with the Liberian government.
“Inflated investment or overstated investment swallows profit and deprives Liberia of receiving dividend — a case we’ve lived with ArcelorMittal for 20 years now,” Senator Twayen stated. “They have always declared losses instead of profits. We will get to the bottom of this one.”
The Senate plenary accepted his communication and has directed the relevant oversight committees to investigate the matter, specifically the Committees on Concession & Investment and Public Works, in collaboration with the Mines and Energy Committee.
Senator Twayen’s communication urged the joint committee to summon key officials, including the Chairman of the National Investment Commission (NIC), the Ministers of Public Works and Mines & Energy, and the Country Representative or Chief Executive Officer of AML.
The probe will seek to verify whether the processing plant’s reported US$1.4 billion cost is accurate and in line with international market standards for such infrastructure. The senator stressed that the figure, if inflated, may represent a deliberate corporate accounting strategy to shield AML from paying corporate income tax (CIT), which currently stands at 35%.
According to his calculations, the yearly breakdown of the investment—about US$350 million annually—significantly reduces taxable income and therefore diminishes expected tax revenues. “These expenses translate to an estimated annual tax loss of over US$123 million,” he emphasized.
Beyond the financial implications, Senator Twayen also raised concerns about the broader impact on national revenue mobilization and the long-term consequences of allowing tax loss carryforwards. This mechanism allows AML to declare ongoing losses, effectively postponing or eliminating corporate tax obligations for years to come.
“With Liberia’s iron ore resources being finite, we risk ending the concession period without having received a fair share of revenues. This project, rather than delivering prosperity to Liberians—especially the people of Nimba—might end up as another missed opportunity.”
The senator’s remarks resonate deeply in Nimba County, home to one of Liberia’s richest mineral deposits. Residents and local leaders have long expressed skepticism about the true benefits of the ArcelorMittal agreement, often citing unfulfilled promises of infrastructure development and community reinvestment.
The call for transparency and accountability now places ArcelorMittal Liberia under renewed scrutiny, as the company prepares for its next phase of operations in the country. For many in government and civil society, this investigation is not just about one project but about setting a precedent for how multinational corporations operate within Liberia’s legal and fiscal framework.
