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Speaking to Mining Weekly during an interview, Dominique Sambwa drew attention to the DRC having secured considerable agreements and partnerships on infrastructure building, which are expected to take root over the next five years.
He called attention to the latest negotiation by the government involving a $7-billion infrastructure investment in power stations, roads, rail, hospitals and schools – with a lot to come between now and 2030.
At a time when the DRC is seeking to diversify its mining partners, it can be reported that some of the biggest infrastructure achievements to date have been through Chinese infrastructure contracts that are linked to the granting of mining rights to Chinese consortiums.
Interestingly, the DRC has increased its copper production from 70 000t in 2000 to more than two-million tons last year, on average adding 100 000t a year.
Moreover, the Central African country will require a lot more energy infrastructure to achieve its beneficiation aspirations. These involve adding value domestically to the metals and minerals with which it has been so abundantly endowed.
Besides growing its copper output considerably, the DRC is continuing to provide the world with 70% of the cobalt that is so crucial in battery, superalloy and vibrant blue colour applications.
Chinese companies have dominated DRC’s mining sector for almost two decades, playing a big role in extraction of mainly copper and cobalt in the Katanga copper belt in particular.
More recently they have ventured towards lithium. The presence of lithium mineralisation in pegmatites in the DRC’s Manono area has been confirmed and those mining lithium there have announced that they will be entering the production phase next year.
Chinese companies are also in gold areas, mostly with artisanal mining. “Although this can count, let's say it’s out of the control of officials. But what’s very positive is that these Chinese mining companies have invested in infrastructure, their mines have created a lot of local jobs, and their operations have contributed significantly to DRC mining tax revenues.”
“But criticism persists over some imbalances here and there in the agreements, with some controversial situations. But the economic impact is noticeably real,” Sambwa pointed out.
While some Chinese mining companies have been accused of causing water and soil pollution, deforestation and displacement of local communities, distinctive corrective measures have also been put in place.
Most copper and cobalt are produced using acid leach and if certain measures are not taken, water and soil pollution can result.
“But what needs to be made known is that Chinese companies have been doing quite a lot to comply with regulations and international standards, which has resulted in greater environmental protection.
“Compared with what used to take place 20 years ago, I would say that there has been very major operational improvement in their operations, but some environmental and social impact challenges still remain, and more effort is taking place to enforce environmental and governance regulations but there is a lack of expertise and a lack of people with competence to deal with these challenges,” Samba added.
This presentation will discuss what goes into development cost estimation, the impact of certain assumptions on unit rates, and how to reduce costs using innovational technologies.
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