Mining industry hopeful that D.R. Congo mining-code issues can be resolved
April 23, 2018
Mining industry hopeful that D.R. Congo
mining-code issues can be resolved
KINSHASA, DEMOCRATIC REPUBLIC OF CONGO – Ivanhoe Mines (TSX: IVN; OTCQX: IVPAF)
announced that a joint statement was issued earlier today by a group of international mining
companies, including Ivanhoe Mines, addressing ongoing negotiations concerning the
Democratic Republic of Congo’s mining code.
The joint statement highlighted that mining industry representatives in the Democratic Republic
of Congo (DRC) are hopeful that their current engagement with Civil Society – which represents
various parts of Congolese society and is a member of the Mining Code Revision Tri-Partite
group – and also with other key interest groups, will contribute to a better understanding of the
issues that need to be addressed before the implementation of the country’s new mining code.
Today’s joint statement was issued on behalf of members of the DRC mining industry
representing more than 85% of the DRC’s copper, cobalt and gold production, and most
significant development projects: Randgold Resources, Glencore, Ivanhoe Mines, Gold
Mountain International/Zijin Mining Group, MMG, Crystal River Global, China Molybdenum Co.
(CMOC) and AngloGold Ashanti.
The industry group submitted a formal proposal to the DRC’s Ministry of Mines on March 29,
2018, that was designed to address concerns about the new code, notably the stability clauses
embodied in the previous code, which included taxation, customs and exchange control. The
industry’s proposal included a provision for a sliding scale on royalties for copper, cobalt and
gold that, in the industry’s view, would be a more effective mechanism for the government to
share in higher commodity prices than the windfall tax on strategic minerals envisaged in the
new mining code.
While the Ministry of Mines has not yet formally responded to the industry’s proposal, there has
been constructive engagement through the working groups set up to draft the regulations to
implement the law, and with the all-important Civil Society leadership, along with other industry
and government counterparts. The mining industry group believes a way forward could be
found that would be in the best interests of all parties. A mutually acceptable solution would
support and encourage the substantial investments the DRC requires for the optimal
development of its mineral resources and the growth of its economy.
About Ivanhoe Mines
Ivanhoe Mines is advancing its three principal projects in Southern Africa: 1) Mine development
at the Platreef platinum-palladium-gold-nickel-copper discovery on the Northern Limb of South
Africa’s Bushveld Complex; 2) mine development and exploration at the tier-one Kamoa-Kakula
copper discovery on the Central African Copperbelt in the DRC; and 3) upgrading at the historic,
high-grade Kipushi zinc-copper-silver-germanium mine, also on the DRC’s Copperbelt. For
details, visit www.ivanhoemines.com.
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Information contacts
Investors
Bill Trenaman +1.604.331.9834
Website www.ivanhoemines.com
Media
North America: Bob Williamson +1.604.512.4856
South Africa: Jeremy Michaels + 27.82.772.1122