Guinea has shipped its first commercial cargo of iron ore from the long-delayed Simandou project, marking the start of exports from one of the world’s largest untapped high-grade deposits after more than two decades of setbacks.
China Baowu Steel, the world’s biggest steelmaker and a shareholder in the project, said it had received an initial shipment of nearly 200,000 tonnes. The cargo arrived on January 17 at the port of Majishan in China’s eastern Zhejiang province after a 46-day voyage, the company said. A second shipment is already on its way after leaving Guinea in late December.
The delivery confirms that Simandou has entered the global iron ore market following the start of production in late 2025. The project has long been emblematic of Guinea’s vast but underdeveloped mineral wealth, having been delayed for years by legal disputes, political instability and repeated renegotiations.
Located in southeastern Guinea between the towns of Beyla and Kérouané, Simandou is considered one of the largest remaining high-grade iron ore deposits in the world. Mining operations officially began on November 11, 2025, under a joint development led by Rio Tinto Simfer and the Winning Consortium Simandou.
The project covers four mining blocks and is expected to reach annual production of around 120 million tonnes once fully operational, according to official projections. Output is set to ramp up gradually, with an initial target of about 60 million tonnes a year.
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A critical milestone for the project was the completion of the Trans-Guinean railway, a logistics corridor stretching more than 600 kilometres from the mining area in the Forest Guinea region to export terminals on the Atlantic coast. The railway is central to the project’s viability, enabling large-scale exports to international markets.
For Guinea, the start of exports represents a major economic and strategic step. International financial institutions say Simandou could significantly boost growth over the medium term and increase public revenues from the mining sector. The government has positioned the project as a cornerstone of its long-term development vision, known as “Simandou 2040”, which aims to channel mining revenues into infrastructure, agriculture, education and industrialisation.
China, the first destination for Simandou ore, also has strong strategic interests in the project. The country currently imports around 80% of its iron ore from Australia and Brazil and has sought to diversify supply sources to reduce reliance on a small number of producers.
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The high iron content of Simandou ore, estimated at more than 65 percent, adds to its appeal. Steelmakers are increasingly seeking higher-grade ore to improve efficiency and reduce emissions as the industry faces pressure to cut its carbon footprint.
Analysts say Simandou’s entry into the market could, over time, influence global iron ore supply dynamics, with potential implications for steel producers in Asia and beyond.
