MINING
AYABONGA CAWE: Global digital value chains at stake in Congolese drama
Katanga is back in the news. Last week Glencore and Gecamines, the Lubumbashi-headquartered commodity mining and trading company, resolved an impasse over debt. In dispute was the capitalisation of joint venture Kamoto Copper Company (KCC), in a matter whose resolution involved a $150m payment by Glencore. Many reports on the deal have focused on that figure and less on what would have happened if the dispute had not been resolved: the disruption of global supplies of minerals integral to digital value chains. Alongside this has been an unfolding drama. The government of the DRC, with control over Gecamines, faces Glencore, the other party to the KCC joint venture and one of the largest diversified minerals firms in the world. It is not surprising Glencore settled; the opportunity cost of not doing so would have sent ripples through the markets and, literally, our mobile phones. Much like during the Cold War the DRC is again at the centre of contests and jostling for control over re...
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