DRC’s Gecamines to audit all JVs, revive exports

Democratic Republic of Congo’s State-owned mining company Gecamines will invest $930-million in a bid to re-establish itself as a major copper and cobalt producer, and will launch audits of its existing joint ventures to help raise the cash, the company said. The plan could put Gecamines, a former mining heavyweight created by authoritarian leader Mobutu Sese Seko after independence in 1960, on a collision course with joint-venture partners such as Freeport McMoRan, Glencore-owned Katanga Mining and ENRC, over how much they are required to pay. “All the terms of reference (of the audit) will be shown in a transparent manner to our partners,” Albert Yuma, the president of the company’s board of directors, told Reuters in an interview on Wednesday. “All we want is to assure ourselves that Gecamines is getting all its dues in the execution of the joint venture contracts, and in the financing of investments and the sale of minerals,” he said. Gecamines, crippled by $1.6-billion of debt after years of corruption and mismanagement, aims to increase independent production and will not sign further partnership deals with foreign firms, Yuma said. More…

Message received by Covalence | Country: DRC |  Source: MiningWeekly.com | Companies: Freeport McMoRan, Glencore | Correspondent: Jean Marie Bolika Lokumbo; Initiative Locale pour le Développement Intégré