Preamble, **The Sierra Rutile Agreement (Ratification) Act, 2002**

ACT *Supplement to the Sierra Leone Gazette Vol. CXXXIII, No. 15* *dated 21st March, 2002* SIGNED this *18th* day of *March, 2002.* ALHAJI AHMAD TEJAN KABBAH, *President.* (LS) No. 4 [Coat of Arms: UNITY FREEDOM JUSTICE] Sierra Leone 2002 **The Sierra Rutile Agreement (Ratification) Act, 2002** [Margin: Short title.] *[21st March, 2002]* [Margin: Date of commencement.] **Being an Act to ratify and confirm an agreement made for and on behalf of the Government of the Republic of Sierra Leone of the one part and by Sierra Rutile Limited of the other part.** WHEREAS an Agreement was made on the 3rd day of November, 1989 between the Government of the Republic of Sierra Leone of the one part and the Sierra Rutile Limited of the other part: 2 **No. 4** *Sierra Rutile Agreement (Ratification) Act* **2002** AND WHEREAS this Agreement was ratified and confirmed by Parliament as the Sierra Rutile Agreement 1989 (Ratification) Act, 1989 (Act No. 8 of 1989): AND WHEREAS as a result of the effect of the ten year rebel war and other factors on the operations of Sierra Rutile Limited the Government of the Republic of Sierra Leone and Sierra Rutile Limited found it necessary to review the 1989 Agreement: AND WHEREAS as a result of the review it was agreed by the Government of the Republic of Sierra Lĕone and Sierra Rutile Limited to enter into a new Agreement to replace the 1989 Agreement: AND WHEREAS an Agreement was made on the 20th day of November, 2001 between Alhaji M. Swarray Deen, Minister of Mineral Resources, acting for and on behalf of the Government of the Republic of Sierra Leone of the one part and the Sierra Rutile Limited, a company incorporated and existing under the laws of Sierra Leone, of the other part: AND WHEREAS it is provided in the Agreement that the Government of the Republic of Sierra Leone will introduce and cause to be passed legislation for the purpose of ratifying and confirming the Agreement in all its terms: AND WHEREAS it is further provided in the Agreement that such Agreement shall come into force and effect upon the coming into operation of such legislation: AND WHEREAS it is desirable that the Agreement shall be ratified and confirmed in all its terms: NOW THEREFORE BE IT ENACTED by the President and Members of Parliament in this present Parliament assembled— [Margin: Commencement.] **1.** This Act shall be deemed to have come into operation on the 21st day of March, 2002. [Margin: Confirmation of Agreement.] **2.** The Agreement set out in the Schedule is hereby ratified and confirmed in all its terms and all rights and obligations purported to be conferred or imposed by the Agreement are hereby declared valid, any law to the contrary notwithstanding and notwithstanding anything contained in any law, the Minister of Mineral Resources or any person acting under his authority shall have power to do on behalf of the Government of Sierra Leone any act which the Agreement may require or allow, within its scope, in the name of the Minister of Mineral Resources or of the Government of Sierra Leone. **No. 4** *Sierra Rutile Agreement (Ratification) Act* **2002** 3 SCHEDULE AGREEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF SIERRA LEONE AND SIERRA RUTILE LIMITED TABLE OF CONTENTS Clause **1.** DEFINITION **2.** MINING LEASE (a) Application of Minerals Act (b) Term and renewal (c) Surrender (d) Additional mining leases (e) Indemnification (f) Other Minerals **3.** SPECIAL EXCLUSIVE PROSPECTING LICENCES FOR AREAS OUTSIDE LEASE AREA **4.** TERM OF LICENCES (a) Term (b) Rights and obligations (c) Prospecting Area Expenditures (d) Indemnification (e) Rent (f) Surrender (g) Additional Areas **5.** RENEWAL OF PROSPECTING LICENCE **6.** RENTS, ROYALTIES, TAXES AND DUTIES (a) Mining and surface rent (b) Royalty (c) Income tax (d) Maximum Income Tax and Royalty due in respect of financial years 1989 and 1990 (e) Additional Income Tax (f) Special withholding tax (g) Limitation of charges on imports (h) Development certificate (i) No other taxes etc., (j) Coming into effect of fiscal regime **7.** LIMITATION ON RIGHTS GRANTED TO OTHERS 4 **No. 4** *Sierra Rutile Agreement (Ratification) Act* **2002** **8.** REPATRIATION OF FUNDS **9.** GOVERNMENT OPTION **10.** GENERAL RIGHTS AND OBLIGATIONS OF THE COMPANY (a) Rights incident to mining operations (b) Occupation of surface land (c) Accessory works and installations (d) Export of titanium minerals (e) Entry of personnel (f) Housing of labourers (g) Government protection and assistance (h) Importation of machinery (i) Surveys (j) Agricultural Development Fund (k) Reclamation and rehabilitation of mined-out areas (l) Feasibility study **11.** GENERAL PROVISIONS (a) Directors (b) Assignment (c) Notices (d) Prior Consent or approval (e) Limitation of application of Minerals Act and other Acts (f) Revocation by the Government (g) Force Majeure (h) Amendment (i) Interpretation and arbitration (j) Termination of Principal and Supplemental Agreements (k) Amendment of the mining Leases (l) Import and export inspection fees (m) Deductibility of losses (n) Deductibility of outgoings and expenses (o) Road users fuel levy (p) Port charges and harbour dues (q) Security (r) Reporting (s) Communications (t) Foreign contractors (u) Exportation of surplus equipment (v) Confidentiality (w) Government assistance (x) Amendment of the mining leases **12.** RATIFICATION AND EFFECTIVENESS OF THIS AGREEMENT **No. 4** *Sierra Rutile Agreement (Ratification) Act* **2002** 5 AGREEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF SIERRA LEONE AND SIERRA RUTILE LIMITED THIS AGREEMENT is made the 20th day of November, 2001 BETWEEN THE MINISTER, acting for and on behalf of the Government of Sierra Leone (hereinafter called "the Government") of the one part and SIERRA RUTILE LIMITED a company incorporated and existing under the laws of Sierra Leone whose registered office is at 12, Lamina Sankoh Street, Freetown, (hereinafter referred to as "the Company") of the other part. NOW IT IS HEREBY AGREED AND DECLARED AS FOLLOWS: