The Geblo concession lies within latitudes 5°36'0" - 6°0'0" north of the equator and longitudes 8°12'0" - 8°36'0" west of the greenwich meridian and is located in Grand Gedeh and Sinoe Counties (southeastern Liberia). Exact metes and bounds available in Art. A1.
Environmental impact assessment and management plan
Geblo Logging shall ensure that its Five-Year Forest Management Plan provides for sustainable use and development of forest resources (anything that exists in the forest environment that may be of potential use to a human), and that the Plan conforms with the Forestry Development Authority’s Guidelines for Forest Management Planning, the Liberia Code of Forest Harvesting Practices, and Geblo Logging’s Strategic Forest Management Plan.
Geblo Logging shall use only environmentally sound harvesting practices that comply with the Forest Management Guidelines, the Liberia Code of Forest Harvesting Practices and any applicable international accepted scientific principles and practices. Geblo Logging shall describe in its Annual Operational Plan any areas requiring special measures for the protection of plants, animals and cultural resources and shall implement these measures. Geblo Logging shall also protect these areas from damage or removal. Geblo Logging shall comply with all requirements for watercourse protection contained in the Liberia Code of Forest Harvesting Practices. Geblo Logging shall conduct all operations so as to reasonably minimize soil erosion. Geblo Logging shall dispose of sawdust, mill and other wastes so as to prevent pollution or contamination of the environment or waterways, and to prevent such wastes from becoming a nuisance or injurious to individuals, organizations, entities, authorities, or property. Geblo Logging shall take all reasonable precautions to prevent pollution of air, soil and water by its operations, and shall maintain all equipment on the contract area in good condition and free of abnormal leakage of fuels and fluids. Geblo Logging shall prevent any spillage of oil or oil products from entering any waters. If Geblo Logging stores more than 5,000 liters of oil or oil product on the contract area, Geblo Logging shall prepare a plan for prevention and control of any spills, and shall take whatever action may be safely accomplished to contain all spills. If any additional areas, resources or species are identified by a party to the Contract, they shall notify the other party and all operations in the affected area shall cease if the contracting officer (the officer to whom the Forestry Development Authority has delegated the power and duty to administer the contract) decides that there is a risk of damage.
Subject to the written approval of the Government and conditions set by the social agreements (required by Authority Regulation 105-07), Geblo Logging may use free of charge any water found within the contract area and in the public domain within 5 km of the contract area for purposes necessary or useful to its operations under the contract. Geblo Logging shall not deprive any lands, tribes, villages, towns, houses, or watering places for animals of a reasonable supply of water where this has been customarily used for such purposes. Geblo Logging shall not interfere with the rights of water held by any individuals, organizations, entities, or authorities under the Land and Native Right Ordinance, and Geblo Logging shall ensure that its use of water in no way results in environmental damage or creates other hazards.
A contract audit committee shall, in the first quarter of each fiscal year, complete an annual contract audit and provide a written report on compliance with each provision of the contract. The Forestry Development Authority shall name up to 5 individuals to the contract audit committee (including at least 1 representative from the Forestry Development Authority, the Ministry of Finance, the Ministry of Justice, and a civil society group not affiliated with or controlled by Geblo Logging). Geblo Logging shall appear before the contract audit committee if requested, and shall demonstrate that it is in full compliance with the contract. Geblo Logging shall in particular present the documents listed in Art. B8.81(b) to the contract audit committee in order to demonstrate compliance. The Government reserves the right to allow unscheduled third party and civil society monitoring of Geblo Logging’s operations. Monitoring organizations shall have access to all records, plans and documents to facilitate monitoring. These organizations shall agree to not publish any confidential business information protected under Section 18.15 of the National Forestry Reform Law of 2006 without Geblo Logging’s consent. Geblo Logging's operations are subject to regular and routine monitoring by Forestry Development Authority staff and accredited third-party independent monitoring organizations.
Geblo Logging is to pay to the Government each year for the full duration of the contract: (i) a land rental bid payment, and (ii) an area fee. The land rental bid is $10.75 per hectare. The Forestry Development Authority will calculate the annual land rental bid payment based on the bid provided in the opening ceremony, multiplied by the surface area of the contract area in hectares (i.e. 131,466 hectares) plus (if applicable) any public lands outside the contract area used by Geblo Logging. The annual area fee is required by section 33 of Forestry Development Authority Regulation 107-07, the area that is subject to the area fee is the same as the area used to calculate the land rental bid. Geblo Logging shall also pay the Government an annual contract administration fee, an annual coupe inspection fee, and forest product fees required by Authority Regulation 107-07.
Before requesting the Forestry Development Authority’s permission to use public lands outside the contract area, Geblo Logging shall consult with all potentially affected communities that are party to its social agreements (required by Authority Regulation 105-07) and keep a written record of the time, place and content of these consultations
Geblo Logging shall implement social agreements required by Authority Regulation 105-07 before the first annual operating season. Geblo Logging shall negotiate new 5-year social agreements with affected communities, as required by Part 3 of Authority Regulation 105-07. The Forestry Development Authority will review and either confirm or reject these agreements. Geblo Logging shall not fell trees unless a social agreement is in force for the relevant area. The Forestry Development Authority will convene an ad hoc review committee every 5 or more years to review and prepare a written report on Geblo Logging’s relations with local communities and compliance with social agreements. Geblo Logging shall cooperate in the review.
In selecting employees for its operations, Geblo Logging shall give preference to competent and qualified individuals living in or near the contract area, and particularly to those benefiting from its social agreements (which are required by Authority Regulation 105-07). Geblo Logging shall not import unskilled labor from outside Liberia, and shall comply with all training and employment laws and regulations.
Protections or benefits for employees, dependents, or others
Geblo Logging shall follow internationally recognized, modern safety precautions and measures for the protection of the general health and safety of its employees and all other persons with legal access to the contract area, and shall comply with health and safety instructions given in writing by the Government.
Right to access concession area (non-contracting parties)
The Government reserves the right to allow others to access the contract area for the purpose of exploring for or exploiting minerals or other substances, or for any subsoil investigation or other reasonable investigation, provided Geblo Logging's operations and activities shall not be unduly interfered with, nor its rights prejudiced, and that if damages result to its property as a result of such access, the Government agrees to provide fair compensation for such damages. Geblo Logging shall allow the public to have access to the contract area, provided this does not unduly prejudice or interfere with Geblo Logging’s operations.
Geblo Logging shall identify in its annual operational plan any areas requiring special measures for the protection of cultural resources and shall implement these measures. Geblo Logging shall also protect these areas from damage or removal.
Geblo Logging shall ensure that its local resident manager and field supervisor receive Forestry Development Authority-approved training in the requirements under the contract, legal requirements, and environmental standards and guidelines before starting operations
Geblo Logging shall ensure that all non-moveable assets and works installed under the contract comply with the Liberia Code of Forest Harvesting Practices and other applicable laws, and shall ensure that the installation and maintenance of these assets avoids unreasonable risk to safety, health, welfare, and the environment. Geblo Logging shall make a written request for approval from the Forestry Development Authority for certain completed installations, after which the Forestry Development Authority will perform an inspection within 15 days. Acceptance by the Forestry Development Authority of Geblo Logging’s construction and maintenance of buildings, structures or surfaces relieves Geblo Logging of further contractual obligations relating to that inspected work, with the exception of roads and erosion control devices. Geblo Logging remains liable for repair and completion of the work until it obtains the Forestry Development Authority’s acceptance.
Upon termination of the contract, all infrastructure and non-movable assets revert to the Government. Geblo Logging shall leave these facilities in maintained and safe running order.
Geblo Logging shall allow the Government and public to use, free of charge, any roads constructed and/or maintained by Geblo Logging, provided that this does not unduly prejudice or interfere with its operations. Geblo Logging shall also allow the Government and public to use communication lines developed by Geblo Logging, subject to fair compensation and provided that this does not unduly prejudice or interfere with its operations.
Geblo Logging shall not use public land outside the contract area without written permission from the Forestry Development Authority. The Forestry Development Authority shall not unreasonably deny this permission and agrees to negotiate the terms and conditions under which an easement or other use rights may be exercised. If Geblo Logging occupies lands, the terms shall include payment of area fees and an amount for land rental at the land rental bid rate. The right to use such land does not extend to the right to harvest timber, unless this is taken to clear a right-of-way or yarding area. Geblo Logging may use private lands with the express, written permission of the land owner. If Geblo Logging is unable to obtain permission, then its use of the land is limited to rights of way. Geblo Logging shall disclose in its annual operational plan all anticipated uses of land outside the contract area. the Forestry Development Authority shall not approve these activities unless they are necessary to operations under the contract.
At least 90 days before the first annual operating season, Geblo Logging shall submit a Forest Management Plan covering the entire contract term that is sufficient to demonstrate that its operations will be sustainable. The Forest Management Plan shall include: a Strategic Forest Management Plan, a Five-Year Forest Management Plan (described in Art. B6.15), a copy of any environmental impact study required by law, and a Business Plan (see Art. B3.13). the Forestry Development Authority will then either approve or deny the Forest Management Plan in accordance with Section 52 of Authority Regulation 105-07. Geblo Logging shall include in its Forest Management Plan an up-to-date Business Plan demonstrating that it has the technical and financial capacity to manage the contract area sustainably.
Geblo Logging shall include a security plan in its Five-Year Forest Management Plan, which must describe the methods and strategies that Geblo Logging will use to prevent, detect, control, and respond to trespass and timber theft, and how it will measure, review and improve these methods. Geblo Logging shall use all reasonable means to prevent encroachment by unauthorized individuals, organizations, entities, and authorities into the contract area and to protect the rights and property of the Government and third parties. However, in no case shall it use private security guards armed with firearms, machetes or other life-threatening weapons. Geblo Logging shall not use or threaten force on persons or property except in self-defense or defense of another.
Geblo Logging shall invest a minimum of US$ 5,875,000.00 to install a sawmill, a plywood mill/ vineer, and other processing equipment within the first 3 years from the contract effective date (i.e. by 30/09/2012).
In the case of a dispute regarding an action by the Forestry Development Authority, if Geblo Logging does not submit a claim for resolution within 60 days of the disputed action, the Forestry Development Authority will be relieved from any obligations related to the dispute. Any claim arising under the contract will be decided by the contracting officer (the officer to whom the Forestry Development Authority has delegated the power and duty to administer the contract). The contracting officer’s decision will be final and conclusive, unless Geblo Logging appeals the decision to an appropriate Liberian court within 45 days of receiving the written decision from the officer.
Geblo Logging shall not assign or transfer the contract or any interests, rights, privileges, or obligations under the Contract, without prior written approval of the Ministry of Justice, Ministry of Finance and the Forestry Development Authority. The Forestry Development Authority shall not consent to any assignment or transfer, unless allowable under the Forestry Development Authority Regulation 104-07, Section 71.
The contracting officer (the officer to whom the Forestry Development Authority has delegated the power and duty to administer the contract) may terminate the contract in its entirety if Geblo Logging fails to submit an initial performance bond before the deadline set in Forestry Development Authority Regulation 104-07, Section 61(b). The contracting officer may, with agreement from the Forestry Development Authority’s board of directors, terminate the contract in its entirety if Geblo Logging commits any of the breaches contained in Art. B8.72 and fails to satisfactorily remedy them; these breaches include, amongst others: (b) felling trees not covered by an annual harvesting certificate, (d) abandoning operations for a period of 1 year or more, (h) failing to comply with a final decision of a Liberian court regarding a controversy between Liberia Tree & Trading Company and the Government, (i) failure to pay any amounts due under the Contract, and (r) failing to comply with a social agreement (required by Forestry Development Authority Regulation 105-07).
The parties understand that section 18.15 of the National Forestry Reform Law of 2006 guarantees to the public free access to all documents and information related to this contract and its administration, subject only to limited exceptions. The Government reserves the right to allow unscheduled third party and civil society monitoring of Geblo Logging’s operations. Monitoring organizations shall have access to all records, plans and documents to facilitate monitoring. These organizations shall agree to not publish any confidential business information protected under Section 18.15 of the National Forestry Reform Law of 2006 without Geblo Logging’s consent.
"Force majeure" means any cause beyond the reasonable control of the parties, which they could not foresee and/or reasonably provide against, and that prevents the parties from wholly or partially performing any duties under the contract for 15 consecutive days or more (excluding the rainy season). Failure by either Geblo Logging or the Government to fulfill any obligations under the contract will not be considered a breach if this failure arose by force majeure, with the exception of Geblo Logging’s obligations to pay money owed that accumulated before the commencement of the force majeure. If fulfillment of obligations is delayed by force majeure, the period of such a delay will be added to the periods fixed in the contract. The party failing in its obligations due to force majeure shall give written notice of the obligations affected and reasons for failure within 30 days of occurrence. Any party failing in its obligations due to force majeure shall, when the force majeure ends, take all reasonable and timely steps to make good and resume compliance with those obligations.
Geblo Logging agrees to at all times indemnify and hold the Government and its officers and agents harmless from all claims and liabilities for the death of or injury to individuals, organizations, entities, and authorities and for damage to property from any cause arising out of Geblo Logging’s operations or activities under the contract, or as a result of Geblo Logging’s failure to comply with any law or regulation. Geblo Logging is also liable for damage, injury or loss caused by the acts or omissions of its employees and independent contractors.
Geblo Logging agrees to allow the Government or its representatives to conduct reasonable inspections of the contract area, any premises within the contract area, and any other offices belonging to Geblo Logging (both inside and outside Liberia) in order to confirm compliance with the contract and any applicable laws. Further details regarding such inspections are contained in Art. B5.3. Geblo Logging shall keep all records necessary to demonstrate compliance with the Contract for the full contract term and for 5 years after the Contract terminates. The Government can conduct annual audits of Geblo Logging’s operations and other reasonable inspections in order to confirm Geblo Logging’s compliance with the contract and any applicable laws. Within 90 days of completing operations under each Annual Operational Plan, Geblo Logging shall provide the Forestry Development Authority and Ministry of Finance with a written activity report detailing the previous year’s operations, which shall include details regarding production and operations under the contract. Geblo Logging shall at the same time present a written security report describing the number and type of illegal trespasses and timber thefts in the contract area, along with strategies for improving security. Geblo Logging shall keep the contracting officer (the officer to whom the Forestry Development Authority has delegated the power and duty to administer the contract) fully and regularly informed of its operations and activities under the Contract. Geblo Logging shall, upon written request from the Forestry Development Authority, provide all documents and other information required by the Forestry Development Authority to determine compliance with the Contract and any other applicable legal requirements. The parties understand that Section 18.15 of the National Forestry Reform Law of 2006 guarantees the public free access to all documents and information related to the Contract and its administration, subject only to limited exceptions.