- Write by:
-
Tuesday, July 18, 2023 - 21:06:14
-
158 Visit
-
Print
Mining News Pro - China’s CMOC Group has reached an agreement with Congo state mining firm Gécamines and will pay $800 million to end a dispute over its Tenke Fungurume Mining (TFM) operation in the country, it said on Tuesday.
CMOC said in a statement it will start paying the settlement fee this year and complete payment by 2028.
The Chinese mining company also said TFM will pay cumulatively at least $1.2 billion in dividends to Gécamines over the life of the project starting this year.
“CMOC will further consolidate partnerships with Gécamines and expand co-operation in the new energy and other sectors,” it said.
The firm is “committed to economic development and people’s welfare in Congo and making a greater contribution to co-operation between China and Congo,” it said.
Gécamines did not immediately respond to Reuters’ request for comment.
The announcement comes after CMOC told Reuters last week it had resumed exports of copper and cobalt from its TFM mine that had been blocked by authorities in the country following the dispute.
Copper and cobalt shipments were halted in July 2022 after a row erupted when Gecamines said it suspected that CMOC understated TFM’s reserve levels to reduce the amount of royalties it pays to the state miner.
CMOC, which owns 80% of TFM while the governments holds the remainder, denied the allegations.
Both companies reached an agreement on future additional reserves and on the operation and management of TFM, CMOC said.
Gecamines will also be entitled to 20% of the total value of the project’s subcontracting and a right to acquire a volume of output proportional to its 20% stake in TFM in market terms, CMOC added.
CMOC produced 254,286 metric tons of copper and 20,286 metric tons of cobalt from the TFM operations in Congo last year.
The settlement with Gecamines will help TFM mines to expand its copper and cobalt capacity, CMOC said.
Short Link:
https://www.miningnews.ir/En/News/624145
Copper futures in New York rallied to a record high after a short squeeze that’s prompted a scramble to divert metal in ...
China’s CMOC Group Ltd. is being accused by a top US official of using “predatory” tactics to depress prices of a key ...
A Native American group said on Tuesday it will take its fight against Rio Tinto’s proposed Arizona copper mine to the ...
Teck Resources Ltd expects to generate annual earnings before interest, depreciation, tax and amortization (EBITDA) of ...
The state-run Chilean Copper Commission (Cochilco) will soon revise its copper price outlook, which will be considerably ...
Chilean mining giant Codelco is still working to meet its estimated output for the second quarter, CEO Ruben Alvarado ...
Australian-based Atlantic Lithium Ltd., which is developing Ghana’s first lithium mine, has taken a step toward raising ...
Indonesia’s outgoing government has added 16 programs to its list of strategic projects that will receive state support, ...
Truck drivers in Chile staged protests Monday in the mineral-rich north of the country and around the capital Santiago, ...
No comments have been posted yet ...