Congo to enforce local ownership rule for copper, cobalt miners
Democratic Republic of Congo will enforce a long-dormant rule requiring local employee ownership for mines in a move that may rebalance shareholdings in some of the world’s biggest copper and cobalt producers.
In a letter dated Jan. 30 and addressed to miners of all metals in the country, Mines Minister Louis Watum said firms must demonstrate that 5% of their share capital is held by Congolese employees.
Companies have until July 31, 2026 to submit proof that they’re complying with the directive, according to the letter, which was posted by the ministry on X on Sunday and confirmed by a ministry official. Watum didn’t immediately respond to a call and text message requesting comment on Monday.
The decision could affect multiple industrial mining projects in the central African nation, which provides about 70% of cobalt supply and is the second-largest copper producer. Glencore Plc, CMOC Group Ltd., Ivanhoe Mines Ltd., Eurasian Resources Group and Zijin Mining Group Co. are among the country’s biggest miners. Barrick Mining Corp. operates one of Africa’s largest gold mines in the country, which also has vast deposits of lithium, tantalum, tin and zinc.
The move comes amid ongoing negotiations between the Trump administration and Congo that could see more US companies invest in the country’s mining industry, which has previously been dominated by Chinese enterprises.
The order cites Congo’s 2018 mining code and regulations requiring companies to reserve 5% of their capital for Congolese employees. Historically, the rules have not been evenly enforced.
Additionally, the code states that 5% of shares should be set aside for purchase by private Congolese individuals, though this requirement is not directly addressed in Watum’s letter.
The employee ownership rules are separate from a requirement that a mining project cede 10% of its ownership to the state, and an additional 5% when a mining permit is renewed.
CMOC and Zijin did not immediately respond to emails requesting comment. Glencore and Ivanhoe declined to comment. ERG and Barrick did not immediately provide comment when contacted Monday.
(By Michael J. Kavanagh)
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2 Comments
Fredrick John Joseph
Leader I apologize if I have wronged you in one way or another Leader I am requesting a job opportunity among these I realize that this is within your power I request your assistance please. I am a Safe Platform Supervisor and Inspector, Steel Repairer, Dar Es Salaam Institute of Technology, I was studying Mining,Tanzania Occupational Safety and Health Authority (OSHA),Bamboo Rock Drilling Controller and have worked at SGS Barrick North Mara Laboratory, I have also done Rock Testing and Mineral Exploration, BARRICK I wish you good health and success in your work in nation building.
Costa Mwisa
Thanks for your brave move. These thieves have been stealing from us for too long