On January 28, 2025, Cameroon was conspicuous by its absence at a crucial hearing before the Court of Arbitration of the International Chamber of Commerce (ICC) in Paris. This refusal to appear is part of the dispute between it and the Australian mining company Sundance Resources, which is claiming $5.5 billion after the loss of its project to exploit the Mbalam-Nabeba iron ore deposit.
The hearing of January 28, 2025, expected for months, was held in Paris in the presence of representatives of Sundance Resources, its lawyers and independent experts. However, no representative of Cameroon responded to the call. According to a press release published by the Australian company on February 3, the Cameroonian State did not honor the payment of its lawyers and experts, leading to its absence. Despite this defection, Cameroon had the opportunity to attend the debates and to be informed of the exchanges. The country therefore seems to have deliberately chosen not to participate, a strategy that raises questions about its intentions in this dispute. The final decision of the ICC is however not expected for several months.
At the heart of this legal battle is the Mbalam-Nabeba iron ore deposit, located between Cameroon and Congo. Sundance Resources, which initially held the exploitation rights, accuses the two states of having taken the project away from it in favor of Chinese partners. In 2022, the Australian junior mining company seized the ICC to claim $5.5 billion in compensation, or 36 times the investments made during the exploration phases, estimated at 94 billion FCFA.
The late Gabriel Dodo Ndocké, former Cameroonian Minister of Mines, had proposed a settlement of this debt to end the procedure. However, the Cameroonian presidency rejected this option, preferring the path of arbitration.
The Mbalam-Nabeba project aimed to transform the region into a strategic iron ore hub in Central Africa. Sundance Resources planned to produce 40 million tonnes of direct-loading ore per year over 12 years, before a second phase to extend operations for more than 15 years with itabirite-hematite concentrate.
This legal tug-of-war could compromise the future of the project and influence the decisions of international investors. It remains to be seen whether Cameroon’s boycott strategy will be favourable to it or whether it will ultimately have to pay the price.
