Monrovia — A January 15, 2025, letter from the Chairman of the Senate Foreign Relations Committee (SFRC) to Secretary of State Antony Blinken has shed new light on U.S. policy regarding Liberia’s National Rail Authority (NRA). The development comes as President Donald Trump returns to the White House, pledging to scrutinize U.S. foreign policy in line with his “America First” agenda.
By Gerald C. Koinyeneh, [email protected]
The SFRC letter confirms that funding for the NRA through the Countering People’s Republic of China Influence Fund (CPIF) was blocked, directly contradicting claims made by High Power Exploration (HPX). This revelation highlights the lack of U.S. government support for HPX’s efforts to align the NRA with U.S. strategic interests in the region.
The SFRC Letter and the NRA
The SFRC letter specifically mentions that CFIP funding for Liberia’s NRA was denied, citing broader concerns about the effectiveness and transparency of CFIP implementation. This directly undermines HPX’s narrative, which has long suggested that the NRA aligns with US objectives to counter Chinese influence.
“The Department also used weak or even bogus counter-PRC justifications to secure CPIF funding,” writes Senator James Elroy Risch, Chairman, US Senate Foreign Relations Committee. “In September, I blocked a CPIF project supporting the establishment of a National Railway Authority in Liberia. SFRC oversight revealed the project would not strengthen Liberia’s ability to compete with PRC-supported mining operations in the country… Embassy staff admitted to leveraging CPIF’s broad guidelines to fabricate a counter-PRC nexus, and to repurposing the initiative to address unrelated objectives.”
HPX is a privately-held US-based mineral exploration and development company owned by Robert Friedland as its founder, chairman, and CEO. HPX is focused on developing the Nimba iron ore project in Guinea. In order to transport its iron ore from its Nimba Iron protect, HPX has been persuading the Liberian Government for access to rail.
In February, HPX signed a letter of intent with the Liberian government, pledging to finance a multi-billion-dollar “Liberty Corridor” in partnership with Guma Africa Group, led by Robert Gumede of South Africa who has a close tie with China. Gumede was one of the main figures behind the Boakai-Koung government disastrous 285 yellow machine deal, or “gentlemen agreement”.
The Letter of Intent provides that HPX and Guma Africa Group will enter into negotiations with the Government of Liberia to agree the framework granting exclusive rights to develop, finance and grant operating rights to the Liberty Corridor. The three parties will form a tripartite Liberty Corridor Project Steering Committee to liaise with all stakeholders and potential international financiers
However, despite these grandiose plans, HPX is concurrently pushing for access to the existing Yekepa-Buchanan railway, operated by ArcelorMittal, which has already invested over $800 million in rehabilitating the line.
To get either of these goals [Liberty Corridor or existing Yekepa-Buchanan Railway) achieved HPX has backed the creation of the NRA to do its biddings. The company has aggressively promoted the NRA as a US-backed initiative, using this false narrative to pressure Liberian officials into advancing the project. The reality, as revealed in the SFRC letter, is that no such alignment exists. Instead, the NRA’s primary beneficiary appears to be HPX itself, which aims to use Liberia’s rail infrastructure to transport resources from its Guinean operations.
HPX’s Exploitation of Liberia
HPX’s agenda is clear: to leverage Liberia’s rail infrastructure to enhance the value of its Guinean assets, which it reportedly plans to sell to a Chinese buyer. This strategy starkly contradicts US strategic goals under CFIP and reveals the hypocrisy of HPX’s claims to align with US policies.
Meanwhile, HPX’s actions have created significant disruptions in Liberia’s mining sector. The company has been a persistent obstacle to the ratification of the third amendment to the Mineral Development Agreement (MDA) between Liberia and ArcelorMittal (AML). Unlike HPX, AML has a proven track record of investing in Liberia’s economy, contributing to job creation, infrastructure development, and government revenues. HPX, by contrast, offers little tangible benefit to Liberia, focusing instead on its Guinea-centric interests.
The Danger of Misinformation
Experts say the SFRC letter underscores the importance of transparency and accountability in foreign policy decisions. They add that HPX’s attempts to misrepresent US support for the NRA not only mislead Liberian officials but also undermine the country’s sovereignty by promoting a project that primarily serves external interests.
By falsely linking its agenda to US strategic goals, observers warn that HPX risks diverting Liberia’s attention from more impactful and nationally beneficial development opportunities. These include AML’s proposed investments, which align with Liberia’s long-term economic objectives.
The spread of misinformation is not new, but its current impact is significant. It is affecting AML’s operations as the company prepares to expand under a revised mining development agreement (MDA), which is currently being negotiated by the Liberian government. Concerns have surfaced about a coordinated effort to derail the deal in the legislature. Reports suggest a potential misinformation campaign aimed at stalling the agreement, thereby threatening the country’s economic progress.
Sources familiar with the situation allege that HPX and its allies are preparing to launch a propaganda campaign similar to their 2021 efforts, which derailed AML’s concession agreement. During that period, misinformation focused on the management of the Yekepa-Buchanan rail and port infrastructure, which had been rehabilitated by AML. A legislative source disclosed that meetings are allegedly being held with some lawmakers to undermine the MDA once it reaches the legislature.
Following the derailment of the AML deal in 2021, HPX allegedly pursued unconventional methods to strip AML of its rail operation rights. Despite these efforts, HPX has so far been unable to achieve its objectives. The administration of President Joseph Boakai appears determined to prioritize the immediate benefits of the AML deal—including thousands of new jobs for Liberians and significant economic contributions such as royalties, taxes, and social development funds, projected to reach $200 million annually by 2027.
A Call for Sovereignty and Strategic Thinking
Liberia must reject HPX’s false narratives and prioritize policies that genuinely align with its national interests. The SFRC’s decision to block funding for the NRA under CFIP reinforces that US support cannot be co-opted to serve private agendas. Instead, Liberia should focus on fostering partnerships that contribute to sustainable growth and respect its sovereignty.
Conclusion: A Clearer Path Forward
Experts say the SFRC’s January 2025 letter serves as a critical reminder that Liberia’s development path must be guided by truth and accountability, not the manipulations of foreign entities. Thay say HPX’s false claims about US support for the NRA have been debunked, exposing the company’s agenda as one that prioritizes its own gains over Liberia’s future.
“Liberia’s leaders must focus on building partnerships with credible investors, whose commitments to the country’s economic growth and infrastructure development stand in stark contrast to HPX’s exploitative tactics. By rejecting misinformation and asserting its sovereignty, Liberia can chart a course toward meaningful and sustainable progress.”
