Embassy of the Democratic Republic of the Congo
The sector attracted several subsidiaries of large multinationals to operate in the DRC. The success story indicates the presence in DRC of companies such as: TENKE FUNGURUME MINING (FREE PORT McROAN, KOLWEZI COPPER COMPANY (KINROSS-EGMF) KIBALI GOLD MINING Mutanda, ASHANTI GOLDFIELD KILO, Twangiza MINING.
Potentials in mineral wealth by province
Mining representing 1,100 different minerals.
All provinces have particular minerals.
Vision
Government of the DRC has to improve more governance and transparency in the mining sector management and the traceability of public revenues;
For this purpose, it will (1) evaluate, revise and popularize the Act No. 007/2002 of 11 July 2002 of the Mining Code, (2) set up a national geological department and(3) evaluated the titles already granted in order to improve the mining cadastral file.
Copper ore and nickel ore mining
Gold ore mining
Cobalt ore mining
Mining equipment leasing and financing
Power generation & transmission
The promulgation of a new mining code in 2002, currently being revisited;
The creation of a mining registry in 2002
Setting up of processing units of the transformation of mining products;
Setting up of diamond hewing, gold refinery and of smelting ores of tin accompanying;
Existence of geological research zones «ZRG» for exploration works and development of deposits and convincing indices of cassiterites, wolfram, coltan, gold, diamond, copper; Installation of cable manufacturing industries. Prospecting is open to investors through a certificate issued by the Mining Registry. It does not allow mining and does not guarantee future collection of prospected areas.
Provinces | Minerals |
---|---|
Bandundu | Diamond, Oil, Kaolin, Clay |
Bas-Congo | Bauxite, pyroschite, limestone, phosphate, vanadium, diamond, gold, copper, lead, sinc, manganese, marble, black and pink granite, rock-salt, iron, gypsum clay, talc, silica, kaolin, baryta, asphaltic schist |
Equateur | Iron, copper and associated minerals, gold, diamond, limestone, kaolin, clay, granite, niobium, ochre |
Province Orientale | Gold, Diamond, iron, silver, clay, copper, kaolin, niobium, ochre, asphaltic schist, talc |
Kasai Oriental | Diamond, iron, silver, nickel, tin, clay, chromium, cobalt, copper, gold, kaolin, talc |
Kasai Occidental | Diamond, gold, managanese, chromium, nickel, clay, cobalt, platinum, copper, iron, kaolin, lead |
Katanga | Copper and associated metals, cobalt, manganese, limestone, uranium, coal, niobium, gold, platinum, lithium, talk, tantalum, wolfram, zinc, clay, bismuth, cadmium, germanium, cassiterite, iron, granite, gypsum, kaolin, monazite, saltworks, beryl (emerald), sapphire |
Nord-Kivu | Gold, niobium, tantalite, cassiterite, beryl, tungsten, manganite, clay, bastnaesite, coal, granite, monazite, niobium, platinum, wolfram, tantalum |
Sud-Kivu | Gold, niobium, tantalite, cassiterite, sapphire, amblyogonite, argent, argile, bastnaesite, beryl, bismuth, diamante, diatomite, monazite, wolfram, zinc, tantale |
Maniema | Etain, diamant, cassiterite, or amblyogonite, lithium, clay, copper, iron, kaolin, manganese, columbium, lead, talc, tantalum, wolfram |
Kinshasa | Clay, silica, kaolin, arkosic sandstone. |
– The Banalia deposits have a 65% higher iron content (low content in Si02).
– The ores of (magnetite, hematite, mastitis, goethite) in Katanga have a content varying between 54 and 66% iron and 3 and 21% silica without many impurities.
– Chromium and Nickel have an average content of 1.45% and 3.8% Cr.
– The lead vanadate deposit has an average ore content of 25-30% lead and 5-6% vanadium, etc.
– Bauxite is located at Sumbi and Sanzala with a content of 48% Al.
– The phosphate resources of Fundu Nzobe in the district of Bas-Congo estimated at 70 million gross tons have an average content of 27% P2O5. At Kanzi, the same resources are estimated at 25 million tons at an average content of 17% P2O5. At Vangu, they are estimated at 20 million tons at 22% P2O5.
Number | Mineral Substances | Quantity ( tons) |
---|---|---|
1 | Copper | 75 000 000 |
2 | Lithium | 31 000 000 |
3 | Niobium | 30 000 000 |
4 | Manganese | 7 000 000 |
5 | Zinc | 7 000 000 |
6 | Cobalt | 4 500 000 |
7 | Iron (over 60%) | 1 000 000 |
8 | Cassiterite | 450 000 |
9 | Gold | 600 |
10 | Diamond | 206 000 000 (Carats) |
(1) The partnership with portfolio companies; or
(2) Others already having mining concessions.
Request mining titles to the Mining Registry in accordance with the following conditions and procedure:
Conditions for the grant of the Operating License
The granting of the Operating License is subject to the following conditions by the applicant:
– Prove the existence of an economically exploitable deposit by presenting a feasibility study along with a technical guidance plan of development work, of construction and operation of the mine;
– Prove the existence of financial resources necessary to carry out one’s project as per a financing plan of development work, of construction, and operation of the mine and the site rehabilitation plan at its closing.
– The plan specifies each type of financing, sources of funding and the justifications of their probable availability;
– Transfer 5% of shares in the capital of the applicant company to the State.
These shares are unencumbered and not dilutable.
Eligibility for mining rights
Are eligible for quarry mineral rights:
Any natural person of Congolese nationality and any legal entity subject to Congolese law headquartered in the National Territory and whose corporate purpose is mining.
Any natural person of foreign nationality and any legal entity subject to foreign law;
All science-based organization;
Natural and legal persons under foreign law must act through an agent in mines and quarries.
File Admissibility
An application form duly completed and signed to leave at the Mining Registry (Website: www.cami.cd);
The applicant’s identity documents or statutes for legal entities;
A certificate of financial capacity issued by CAMI or provide evidence of financial capacity;
Geographic data of the requested perimeter;
Proof of payment of the application filing fee;
All other documents required according to the type of right requested.
The processing of the file for the granting of mining rights is as follows:
Cadastral examination – Technical examination – Environmental examination – Inter-ministerial Order.
The registry examination will focus on:
A verification of eligibility;
A verification of financial capacity;
An indicative report of the perimeter on mining fallout map;
A verification of possible encroachments of perimeters requested on the existing rights of third parties;
Compliance with the principle of “first come, first served”.
Mode for granting mining rights
The law provides for two procedures for granting mining rights, namely:
(1) Generally upon request;
(2) Exceptionally on a tender (open or restricted).
Kinds or License | Fees |
---|---|
$3.06/square for the first 2 years | |
PR ( Research License) | $31.69/square for the two other years |
$52.10/square for the 2 years of the first renewal | |
$149.22/square for the 2 years of the second renewal | |
PE (Operating License) | $511.09/square and per year |
PER (Rejection Operating License) | $817.74/square and per year |
PEPM (Operating License of small Mine) | $235.10/ square and per year) |
ARPC ( Research License of Quarry products) | $5.11/ square and per year |
AECP ( Operating License of Permanent quarries) | $204.43/square and per year |
The current Congolese Mining Code2 was enacted by the Congolese Congress on 11 July 2002 (Mining Code). The implementing measures of the Mining Code are set forth in the Mining Regulations of 26 March 20033 (Mining Regulations).
New Mining Code will aim, in particular, to:
In this respect, the current Mining Code provides for a 10-year stability guarantee. This stability guarantee provides that rights attached to valid mining rights at the promulgation date of the Act modifying the Mining Code will remain unchanged and vested for a 10-year period.
This 10-year period will start either from:
At the regional level, in July 2012 the DRC joined the Organization for the Harmonization of Business Law in Africa (OHADA). OHADA law is of particular interest to mining companies, as it primarily covers commercial, corporate, loan-guarantee, accounting and arbitration law. OHADA law entered into force in the DRC on 12 September 2012. In addition, a one-stop shop for business start-ups (Guichet Unique) was recently instituted and shows encouraging development.
The Mining Cadastre receives applications for mining rights, grants mining rights and keeps records of mining rights, among other functions. Moreover, the DRC has created a national transparency initiative committee with respect to the management of extractive industries in the DRC. Any regulation is issued by the Ministry of Mines, which supervises mining activities at national level.
Kinds or license | Costs |
PR (Research license) | 3.06$/square for the first 2 years |
31.69 USD/ square for the two other years | |
52.10 USD/ square for the 2 years of the first renewal | |
149.22 USD/ square for the 2 years of the second renewal | |
PE (Operating license) | 511.09 USD/ square and per year |
PER (Rejection operating license) | 817.74 USD/ square and per year |
PEPM (Operating license of Small Mine) | 235.10 USD/ square and per year |
ARPC (Research license of quarry products) | 5.11/ square and per year |
AECP (Operating license of permanent quarries) | 204.43/ square and per year |
The mining sector in the Democratic Republic of Congo is regulated by Law No. 007/2002 of 11 July 2002 on the Mining Code and Decree No. 038/2003 of 26 March 2003 on Mining Regulations.
The new Code performs a classification of mineral deposits in mines and quarries. It’s precise that the President of the Republic may declassify or reclassify a mining substance into quarry product and vice versa.
The Mining Code pursues the following objectives: