China Molybdenum said "significant progress" had been made on a dispute regarding the Tenke Fungurume copper and cobalt mine (TFM) in the Democratic Republic of Congo (DRC).
The dispute between China Moly and Democratic Republic of Congo's state mining company Gecamines, which hold 80% and 20% stake in the TFM mine respectively, started in August last year when the Congo government formed a commission to reassess reserves and resources at the mine in order to "fairly lay claims to their rights".
A spokesman for the Congo government, Patrick Muyaya Katembwe, said in a statement dated March 28 that the judicial procedure "remains suspended with a view to restoring a climate of exchange and harmony between the parties", adding that the government had proposed a roadmap to exit the crisis.
"This marks an important step forward in the communications between CMOC and the DRC government regarding the additional royalty payment for increase of reserves at TFM," China Moly said in a statement late Wednesday.
The Chinese firm said it and Gecamines would hire an internationally recognised third-party to conduct the assessment as required by the Congo government, and to promote a "fundamental settlement" of the dispute.
"The communique ... further strengthens our confidence to invest in the DRC," China Moly cited its CEO Sun Ruiwen as saying in the statement, who also vowed to push forward construction of the TFM and Kisanfu copper and cobalt mine in 2022.
The TFM project produced 209 120 t of copper and 18 501 t of cobalt in 2021. It aims an annual output of 227 000 t to 267 000 t of copper and 17 500 t to 20 500 t of cobalt in 2022.