Kibali Gold Mines Sets the Standard for Law-Abiding Subcontracting

The issue of subcontracting was at the heart of a special session during the opening ceremony of the 18th edition of DRC Mining Week, on Wednesday June 14, 2023, in Lubumbashi.

Keynote speaker for this session, Louis Watum, President of the Chamber of Mines of the Federation of Companies of Congo, cited Kibali Gold Mines among the best students who apply subcontracting in the Democratic Republic of Congo (DRC).

Indeed, this mining company has been able to create wealth by promoting the emergence of a real middle class in the DRC. This is the case of IOB, MD Services and so many others.

According to a report by Kibali, in the first quarter of 2022, the number of expatriate contractors was estimated at 144 against 4,053 national contractors.
Figures that sufficiently show compliance with the law on subcontracting at this mining giant.

Also, in 2021, the Kibali Gold Mines company invested USD 40.6 million in the second half of the year with 380 local contractors and subcontractors in the Haut-Uélé province, bringing its total to USD 2.1 billion. investments in 12 years of operation.

Its policy is to use local labour, in accordance with the recommendations of the Regulatory Authority for Subcontracting in the Private Sector (ARSP).

At Kibali, five strategies are applied in the outsourcing sector namely the need to identify outsourcing companies; the preparation of relays by a good transfer of skills; quality, a requirement for conquering the market; monitoring of subcontractors and access to financing for subcontracting companies.

All of these strategies can serve as models for other mining companies operating in the DRC.

Besides Kibali as a good student, Louis Vatum also listed the example of TFM, Kamoa, KCC.

Apart from these model companies, Louis Vatum deplored the fact that several of the main companies do not comply with 90% of the law on subcontracting.

Positioning himself as the spokesperson for the subcontractors, the President of the Chamber of Mines of the DRC did not fail to mention the wishes of Congolese subcontractors.

According to him, the latter want transparency in the publication of contracts awarding contracts. They request a quotation from the market granted to the Congolese company. 

This, in compliance with the law on subcontracting. Subcontractors would also like to have long-term contracts rather than spontaneous orders.