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Examples of CONNEX Support

 

CONNEX Support activities have been implemented in a number of countries. First pilot measures started already in late 2015 in Liberia and until now, CONNEX support has directly benefitted more than ten countries.

CONNEX Support can be requested during direct (re)negotiations as well as to help during the pre-negotiation phase when a government is preparing for upcoming (re)negotiations.

Direct negotiation support

Direct negotiation support is at the core of CONNEX activities. Currently, CONNEX is engaged (or preparing for engagement) in three countries, supporting the governments in large-scale contract negotiations, as well as renegotiations.

In all cases, CONNEX experts are sitting along with government officials in the negotiations rounds in order to provide ad-hoc support to the negotiation teams. In addition, CONNEX experts work very closely with the negotiation teams in further discussing the general goal and objectives the government would like to achieve while preparing the details for the next negotiation rounds.

The support provided differs in its scope. In one case, support has been provided by a financial expert who has been assisting the negotiations team in a number of negotiations and renegotiations. When necessary, he was joined by a mineral expert who was able to provide the substantial technical information on the basis of which further discussions could take place. First results show that the advisor was able to identify hidden revenue options for the government through the adjustment of the financial model amounting to up to estimated 250 Mio USD when fully realized.

In a second case, a legal and financial expert jointly support the government in negotiating a contract with a new investor in country. As the support is ongoing, the CONNEX Support Unit is looking forwards to learn about first results.

Legal, financial, strategic and mineral experts will closely work together in an upcoming CONNEX support where two major mining projects shall be renegotiated. This is currently in preparation and further details will be disclosed when possible.

For the upcoming months and years, further requests for direct negotiation support activities are expected. Our experiences so far provided evidence for the significance and relevance of multidisciplinary support, which may be needed at once, but also at different stages of the negotiation process.

Pre-negotiation support

In addition to the direct support, a number of relevant and successful pre-negotiation support measures that allow governments to make informed decisions have been implemented. Examples include amongst others:

  • Guinea, Liberia and Tanzania: Review and revision of financial models for resource projects, including capacity development in financial modeling for the relevant government institutions.
  • Mali and Mozambique: Capacity development about the design and implementation of contract negotiations in general have been implemented, using planned negotiations as case studies whenever possible.
  • Mali: A technical workshop on mine closure as base for further future support measures in the country
  • Kyrgyzstan: Support to the Government regarding important issues to consider for a successful tendering process

It has been confirmed by the requesting governments that the combination of direct negotiation support and targeted capacity development measures makes the CONNEX support in particular useful, long-lasting and valuable.

Please note: The countries where CONNEX currently provides or prepares for direct support are kept anonymous for confidentiality reasons.

Further information on examples for CONNEX Support will be constantly added under consideration of the required confidentiality. The CONNEX Support Unit is making efforts to collect and present direct feedback from the requesting governments on the quality and value added of the support received.