Congo cobalt to become 'strategic'

THE Democratic Republic of Congo will soon declare cobalt and other minerals as “strategic” resulting in miners having to pay even higher royalties.

Congo cobalt to become 'strategic' Congo cobalt to become 'strategic' Congo cobalt to become 'strategic' Congo cobalt to become 'strategic' Congo cobalt to become 'strategic'

Strategic move: The DRC produced 69% of the world's cobalt in 2017

Roskill said in a summary of its global cobalt industry, markets and outlook 2018 report Tuesday that Mining Minister Martin Kabwelulu had suggested when he addressed a conference in Kolwezi last week that the Prime Minister Bruno Tshibala would soon sign a decree making cobalt "strategic" and therefore subject to a 10% royalty.

Kabwelulu confirmed the move this week, according to Reuters.  

Royalties on copper and cobalt already increased from 2% to 3.5% in March when president Joseph Kabila signed a new mining code into law.

This is likely to hit the industry hard, as 82,800 tonnes of cobalt was produced in the DRC in 2017, making up 69% of total global production, according to Roskill.

Large international mining companies in ...