LONDON. - Friday, May 8th 2015 [ME NewsWire]

(BUSINESS WIRE) Today, in response to the decision by the London High Court to assist the Republic of Guinea’s investigation into BSG Resources (“BSGR”), Dag Cramer, a non-executive director of BSGR, issued the following statement:

“BSGR welcomes the effort by the UK Government to uncover the fraud that has been perpetrated against BSGR by President Alpha Condé. The decision today is procedural only, and will allow BSGR to provide the SFO with information that can be passed on to the Government of Guinea to demonstrate the absence of any wrongdoing by BSGR. These proceedings also provide an opportunity for BSGR to present evidence of corrupt practices by the Government of Guinea. We will continue to vigorously defend and pursue BSGR’s rightful and legal rights.”

The ruling of the High Court relates only to a request for documents: at no time in these proceedings was BSGR under investigation by the UK Government, or by the SFO.

BSGR has recently launched an arbitration claim against the Republic of Guinea before the International Centre for Settlement of Investment Disputes (“ICSID”) for the illegal expropriation of its assets since April 2014. The ICSID process is underway, and a timetable for these proceedings has been agreed. Meanwhile, the Government of Guinea has announced its intention to tender the assets to interested parties (for the last year). BSGR will initiate legal proceedings against any party who will engage with the Government of Guinea in such an inappropriate transaction.

BSGR has invested over US$1 billion to bring Zogota and Simandou Blocs 1 & 2 iron ore mines into production in record time. Tragically for the people of Guinea, President Alpha Condé has for the past four years, illegally obstructed the project, denying the country over US$10 billion in capital investment, and thereby preventing much-needed economic and social progress. The sad result of President Alpha Condé’s rule is that Guinea remains one of the poorest countries in the world, in desperate need of investment.

BSGR will continue to defend itself against the baseless allegations made by the Government of Guinea, and is confident that the facts and evidence to be presented at ICSID will fully vindicate BSGR’s position, and will demonstrate that President Alpha Condé’s actions against BSGR are wholly without merit, and part of an elaborate, corrupt scheme to defraud BSGR of its rights.

Notes to Editors:

BSG Resources is a company incorporated in Guernsey. It is an international diversified mining company with operations and projects in multiple countries across metals and mining operations in Africa and Eastern Europe, including ferro-nickel, diamonds, and iron ore. BSGR is also active in power generation in Nigeria. BSGR has a 15-year track record of providing risk capital, operational expertise and engineering capability for developing and executing mining operations in challenging environments. BSGR is a subsidiary of BSG, a company with interests across the world in natural resources, real estate, capital markets and the diamond industry.

Additional information:

Dag Cramer’s Witness Statement

International Crisis Group Guinea Briefing

Contacts

Buchanan

Bobby Morse / Gordon Poole

+44 207 466 5000

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