A serious allegation of exploitation has been leveled against FG Gold Limited by a Sierra Leonean construction company, CL Group Limited, over unresolved claims including inflated cement prices, non-payment for imported materials and prolonged equipment downtime.
According to documents and statements obtained by this medium, CL Group alleges that FG Gold, in 2023, sold cement to them at a staggering cost of NLe190 per bag, far above the prevailing market price at the time, which ranged between NLe125 and NLe160 even in the remotest parts of the country. That, the company claims, was unjustifiable and may have been a tactic by FG Gold to offset financial constraints affecting their Baomahun operation.
“It is unacceptable for an international mining company to exploit its local contractor under the guise of material supply,” a representative of CL Group stated. “What FG Gold did amounts to profiteering at our expense.”
The issue stems from a contract signed on April 5, 2023, for the construction of FG Gold’s New Camp Site in Baomahun, Bo District. Under the agreement, CL Group was responsible for providing management, labor, materials and equipment to execute the project. However, tensions grew when certified invoices submitted by CL Group were not paid on time, with delays reportedly exceeding 200 days in some cases.
The project contract was eventually terminated in November 2024 after both parties failed to reach a renegotiated agreement. Despite the termination, CL Group claims that in January 2025, FG Gold requested access to five (5) containers of imported finishing materials, originally procured for the camp project, promising that payment would follow shortly.
“They asked us to release our materials to help them finish some camp structures ahead of a site visit by their Board of Directors,” said the Managing Director of CL Group. “They needed to impress their stakeholders and we acted in good faith. But since then, we have not been paid and it has left us in a financially precarious position.”
The company further states that the delay in receiving payment, combined with equipment left idle and exposed at the project site, has had devastating consequences for their operations.
“This has been a strategic act of deception,” the Managing Director added. “FG Gold has used our resources to project an image of progress and financial credibility to their board and investors without fulfilling their own obligations to us. It is both unethical and economically harmful to local businesses like ours.”
These allegations come just months after press reports in November 2024 exposed FG Gold’s mistreatment of local workers and raised concerns over the company’s employment practices.
Many observers are now questioning the due diligence process employed by Government authorities before granting FG Gold the license to mine in Baomahun. There are renewed calls for the Ministry of Trade and Industry, as well as other relevant ministries, to investigate not only the claims made by CL Group but also FG Gold’s overall operations and compliance with corporate governance standards.
Efforts to get FG Gold’s side of the story have been largely unfruitful. When contacted, Project Director, Bolaji Okubajo, declined to comment, instead referring this medium to the company’s Freetown head office. He stated, “You can forward all your demands for clarifications to our Head Office in Freetown. We have a department that normally responds to any concerns.”
Finance Director, Francis Boateng also declined to comment directly, instead pointing to the company’s website and asking that inquiries be submitted through an online form. As of press time, no official response has been received from FG Gold Limited regarding the specific allegations made by CL Group.
The situation has raised broader questions about whether FG Gold’s Management, particularly its Executive Chairman, Oliver Andrews and the Board are using the company as a façade to impress shareholders while exploiting local firms and resources. In light of the growing number of complaints against the company, stakeholders are calling for a thorough and independent investigation into its conduct.
As the allegations pile up, many are left wondering: Can FG Gold be trusted to operate ethically in Sierra Leone? And how many more local businesses must suffer before action is taken?
This medium remains open to publishing FG Gold’s official response should it be made available.
