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# [MADAGASCAR] Rio Tinto QMM halts ilmenite extraction at Mandena: a social and legal crisis
- URL: https://businessoi.media/en/madagascar-rio-tinto-qmm-suspend-lextraction-dilmenite-a-mandena-une-crise-sociale-et-juridique-en/
- Published: 2026-09-04T13:38:58.000Z
- Updated: 2026-09-04T13:38:58.000Z
- Description: Since August 28, 2026, Madagascar's Mandena mine is at a standstill: QMM (80% Rio Tinto) has suspended ilmenite extraction following 3 weeks of road blockades. Behind it: a 9.9 billion ariary ruling upheld by Madagascar's Supreme Court.
- Author: Emmanuel TAOCHY
- Tags: Madagascar, Économie, Investissement, Afrique, Clôture, #en

**Since August 28, 2026, the Mandena mine near Fort-Dauphin has been at a standstill. QIT Madagascar Minerals (QMM), 80% owned by Rio Tinto, suspended all ilmenite extraction and processing after three weeks of road blockades by local farmers. Behind the crisis lies an environmental dispute nearly two decades old — and a court ruling now upheld by Madagascar's Supreme Court.**

## A confirmed ruling, an inevitable suspension

In February 2026, the Fort-Dauphin court ordered QMM to compensate **27 farming families** for lasting damage to their land — rice fields flooded since 2007 by a retention dam built for the mine. The award: **9.9 billion ariary, or nearly €2 million**. On August 4, 2026, Madagascar's Supreme Court upheld the ruling.

Despite the decision, residents said compensation was not forthcoming. They blocked site access roads from mid-August onward, making it impossible for staff to circulate and for ore to reach the deep-water Ehoala port.

## QMM links restart to security

In a statement dated August 28, QMM announced the suspension of all extraction and processing activities, citing «security concerns». The company said a return to operations would depend on the «sustainable restoration of safety and free movement to and from the site».

Rio Tinto, which holds 80% of QMM alongside the Malagasy state's 20%, gave no timeline. The ilmenite mined at Mandena — a titanium dioxide ore used globally in paints, plastics and industrial coatings — is exported via Ehoala port for overseas processing.

## A strategic stake for Madagascar

The Mandena mine is one of the country's largest foreign industrial investments. Its suspension raises serious questions: lost export revenues for the state, impact on direct and indirect jobs in Fort-Dauphin, and a signal sent to potential investors in a country already ranked among the world's poorest.

Madagascar is also the **world's top graphite producer** and aims to become a regional mining hub. Projects like the Ampasindava rare-earth deposit are under development. A swift resolution to the QMM crisis will be closely watched by all foreign partners.

## Why it matters

This case illustrates a structural tension common to resource-rich nations: balancing foreign investment attractiveness with legitimate local grievances — here validated by the courts. For Madagascar, the stakes are twofold — maintaining investor confidence while demonstrating that the rule of law also protects host communities. A difficult balance, but an unavoidable one for any country aiming to sustainably develop its mineral resources.

*Sources: Capmad (02/09/2026), Financial Afrik (31/08/2026), Midi Madagasikara (28/08/2026), Allafrica (14/02/2026).*