Congo’s Gécamines and ERG Seal New Mining Deal Amid Controversy
DRC Signs Controversial Mining Agreement with ERG as Critics Warn of “Betrayal”
The government of the Democratic Republic of Congo (DRC) has announced a new agreement between Luxembourg-based mining giant Eurasian Resources Group (ERG), in which Kazakhstan holds a 40% stake, and state-owned Générale des Carrières et des Mines (Gécamines).
While officials are hailing the deal as a fresh start for the sector, opposition voices have denounced it as a dangerous sell-off of national resources.
Opposition leader Franck Djongo called the agreement “a historic betrayal, signed outside the country, behind the people’s backs.” In a post on his X account, he accused the Kinshasa government of having “sold off” the DRC’s cobalt and copper reserves “to enrich the world and impoverish the Congo.” Djongo also lamented that Gécamines, “once a national flagship,” has now been “reduced to a puppet in the hands of predators.”
Government officials, however, defended the deal. “We have settled the past, which was fraught with obstacles, and we are now focused on moving towards a better future. We have rebalanced relations in a positive way for everyone,” said Guy Robert Lukama, Chairman of Gécamines’ Board of Directors, at the signing ceremony.
Mines Minister Louis Watum Kabamba expressed optimism that the partnership would generate long-term benefits. “There is an obligation on the part of both parties, and each must play their role so that we can create wealth and distribute it fairly,” he stated.
The agreement was signed on Wednesday, September 10, in Astana, Kazakhstan, between representatives of ERG and Gécamines.
The deal comes against a backdrop of controversy. The Subcontracting Regulatory Authority (ARSP) had previously barred ERG from the subcontracting market, accusing the company of concealing ownership ties to nine subcontractors that collectively dominated 98% of local contracts.
ERG rejected the allegations, insisting that the subcontractors were “not directly associated” with the group. The company also highlighted its cooperation with the ARSP and pointed to its investments in the DRC—estimated at over $9 billion between 2009 and 2022—which it says generated $1.6 billion in taxes and royalties.
