Congo State Miner Curbs Expectation About Code Concessions – by William Clowes (Bloomberg News – March 19, 2018)

https://www.bloomberg.com/

Miners in the Democratic Republic of Congo won’t secure substantial concessions in talks with the government about changes to the industry code, the head of the state mining company said.

The operators, including Glencore Plc and Randgold Resources Ltd., are pressing the government to row back on some of the reforms President Joseph Kabila signed into law this month. The modifications will raise taxes and other costs for miners in Congo, Africa’s top copper producer and the world’s main source of cobalt.

“There can be no renegotiation on any point once the code has been promulgated,” Albert Yuma, chairman of state-owned mining company Gecamines, said in an emailed response to questions on March 17.

Kabila met top executives of major foreign investors on March 7 to discuss their objections to the new law, which was approved by parliament in January. The president signed the code March 9, but assured miners that “their worries will be taken into account” in talks with the government.

Representatives of Glencore, Randgold, China Molybdenum Co., Ivanhoe Mines Ltd., MMG Ltd., Zijin Mining Group Co. and AngloGold Ashanti Ltd. attended the meeting.

For the rest of this article: https://www.bloomberg.com/news/articles/2018-03-19/congo-tamps-down-miners-expectations-of-concessions-on-new-code

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