The Mauritanian government is preparing to start direct negotiations with the company ARISE to revise the agreement of the extension of the autonomous port of Nouakchott. The convention, which costs 390 million dollars, is subject to massive controversy in these last years.
This revision comes as a response to recommendations of the parliamentary commission of inquiry, which revealed that « legal and procedural dysfunctions » mark the current convention; therefore, the commission proposes the revision or the annulation of the agreement.
Sources close to the dossier revealed to Sahara Medias that a technical committee, presided by the autonomous port of Nouakchott, had made significant strides towards the revision of the convention.
After that, the dossier was transmitted to a ministerial commission presided by the Prime Minister, Mohamed O. Bilal and the ministers of petroleum, Finance, and Economy.
This commission has already held two meetings to discuss this dossier and another week is planned, in which the company ARISE may participate.
According to Sahara Medias sources, the Mauritanian party pose a certain number of points at the table of negotiation; the Mauritanian side is keen on revising them, especially the project costs, which should not exceed 290 million dollars, according to the Mauritanian negotiators.
In this estimation, the Mauritanian part relies on a Chinese study that said that the extension would cost between 280 and 290 million dollars, which is one hundred million dollars less than the amount fixed ARISE( 390 million dollars).
In this estimation, the Mauritanian part relies on a Chinese study that said that the extension would cost between 280 and 290 million dollars, which is one hundred million dollars less than the amount fixed ARISE( 390 million dollars).
The Mauritanian side insists on including’’ the real cost’’ on the new agreement, according to a source close to the dossier.
On the other hand, the Mauritanian officials also want to negotiate the tariffs of the management of the container dock for hydrocarbons. The fees are considered as very expensive by the parliamentary commission report.
The revision of convention would also include some taxes and royalties, raising some of them, which can increase the revenues of the country and those of the autonomous port of Nouakchott significantly. The gains may exceed one billion dollars.
The Mauritanian party also want to review the duration of the project, which is fixed at 30 years in the current agreement.
According to a source close to the technical commission, Mauritania is currently working on elaborating a new convention, which will determine that duration of the agreement starting from a certain level of the extension activities of the port.
The experts estimate that this level may be reached in 15 years, which is half of the duration fixed in the current agreement.
Once both parties adopt the new formula, it will be referred to the council of ministers for its approval before the final signature.
The Mauritanian government is endeavoring to include the French fund « MERIDIAM » in the final signature to obtain a real guarantee for the project because the current agreement was signed with two Indian businessmen, of whom little is known, according to the source.
The source added that MERIDIAM is a finance fund, contributed to this project, enjoying a global and his presence in this agreement would be an essential guarantee of the seriousness and strength of the investment.
