INDABA: African Nations Need To Push Miners To Share Infrastructure-IFC

African governments should push for mining-transport corridors to remain open to third party access as a way to stimulate economic growth, a senior executive at the International Finance Corp said Monday.

Tom Butler, the global head of mining at IFC, said it takes longer to get a project to market when different stakeholders have to cooperate to create a transport route but "it's worth the time."

He said the need for consolidation or open access to mining transportation was most evident in West Africa where there are 11 to 18 iron projects being developed but with little coordination to date on how to develop transportation for these projects.

IFC has established a team to provide governments with technical advice on how coordinate such investment, Butler told Dow Jones Newswires on the sidelines of the Mining Indaba conference here.

IFC owns a 2.5% stake in the infrastructure transportation part of Rio Tinto PLC (RIO)'s giant Simandou iron ore project in Guinea. Rio Tinto, in conjunction with the Guniean government and other stakeholders has agreed to make the rehabilitated railway line open to third party access, Butler said.

Other mining companies developoing iron ore projects in West Africa include BHP Billiton (BHP), steel titan ArcelorMittal (MT), and London Mining PLC (LOND.LN).

- By Alex MacDonald, Dow Jones Newswires; +44 (0)7776 200 924 alex.macdonald@dowjones.com

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