Trafigura to mobilize USD 600 million to complete the construction of the Mutoshi Copper and Cobalt Mine
Shalina Resources and its Congolese subsidiary Chemaf have signed a new partnership agreement with Trafigura under which the latter will help it raise USD 600 million to finance its copper and cobalt activities in the DRC. The funds will mainly be used to complete the construction of the Mutoshi industrial mine which is scheduled to start production in the third quarter of 2023, according to a tweet from Trafigura.
Under the terms of the agreement between Trafigura and Shalina, the commodity trader will raise the funds through a syndication process with several international banks. In exchange, he wins the right to market all the cobalt hydroxide that will be produced by Chemaf, which is also building an SX-EW treatment plant in Kolwezi and wants to expand its Etoile plant located in Lubumbashi.
“The new production in Mutoshi, will make Chemaf one of the largest producers of cobalt in the world, at a time when the demand for batteries for electric vehicles and copper for increased electrification as part of the transition energy is experiencing exponential growth from customers around the world ,” Trafigura said on its website.
