Mukondo Mine
Encyclopedia
Mukondo Mine is a copper and cobalt mine in Katanga Province
, Democratic Republic of the Congo
. As of 2011 it was operated by the Central African Mining and Exploration Company
(CAMEC). It may be the richest cobalt reserve in the world.
The Mukondo mountain has a height of over 1700 metres (5,577.4 ft).
Mining is relatively cheap since waste rock can simply be pushed off the mountain rather than hauled away.
Tremalt, controlled by the Zimbabwean businessman John Bredenkamp
, held 80% of KMC while the state-owned Gecamines
held 20%
In June 2006 Dan Gertler
bought Tremalt
for about $60m.
The sale was to Prairie International, of which Dan Gertler’s family trust was a major shareholder.
Tremalt owned 80% of Savannah Mining, a successor to KMC that held concessions C17 and C18 in Katanga Province and 50% of the Mukondo project.
Billy Rautenbach
, a Zimbabwe businessman, owned Boss Mining, which controlled the other 50% of the mine.
In a February 2006 deal, Rautenbach gained about 17% of the CAMEC shares when CAMEC bought 80% of Boss.
Boss Mining had rented and operated Bredenkamp's half of Mukondo. Gertler terminated this arrangement when he bought Tremalt.
Gertler and CAMEC made plans to combine the Mukondo assets into a new holding company to be operated by CAMEC.
Billy Rautenbach would be paid out and excluded from ownership in the new company due to the hostile relations that had developed between him and the DRC government.
CAMEC and Prairie International signed the MOU to complete the deal in November 2007.
In September 2009 the Eurasian Natural Resources Corporation
(ENRC) of Kazakhstan
made a £584-million cash offer for CAMEC.
The deal was closed in November 2009.
copper cobalt SX/EW facility.
In February 2008 the two companies announced that the Mukondo Mountain operations had restarted.
In July 2008 CAMEC said the Luita facility, due to be completed later that year, would be the largest of its kind in the world.
The target was to produce 100,000 tonnes per year of copper cathode.
In July 2009 CAMEC announced a long term agreement under which CAMEC would deliver its entire annual production of cobalt in concentrate from Mukondo Mountain to Zhejiang Galico Cobalt & Nickel Materials of China.
Katanga Province
Katanga Province is one of the provinces of the Democratic Republic of the Congo. Between 1971 and 1997, its official name was Shaba Province. Under the new constitution, the province was to be replaced by four smaller provinces by February 2009; this did not actually take place.Katanga's regional...
, Democratic Republic of the Congo
Democratic Republic of the Congo
The Democratic Republic of the Congo is a state located in Central Africa. It is the second largest country in Africa by area and the eleventh largest in the world...
. As of 2011 it was operated by the Central African Mining and Exploration Company
Central African Mining and Exploration Company
The Central African Mining and Exploration Company was a mining company active in the Katanga Province of the Democratic Republic of the Congo and in other parts of Africa. It was acquired by ENRC in 2009.-Early years:...
(CAMEC). It may be the richest cobalt reserve in the world.
Location
In July 2008 CAMEC said the resource estimate at Mukondo was 70 million tons of ore containing 1.5 million tons of copper and 500,000 tonnes of cobalt. The cobalt grade averages 1.2%, an exceptionally high concentration.The Mukondo mountain has a height of over 1700 metres (5,577.4 ft).
Mining is relatively cheap since waste rock can simply be pushed off the mountain rather than hauled away.
Ownership changes
In January 2001 the Kababancola Mining Company (KMC) was established as a copper and cobalt mining partnership for a 25-year term.Tremalt, controlled by the Zimbabwean businessman John Bredenkamp
John Bredenkamp
John Arnold Bredenkamp is a Zimbabwean businessman and former rugby player. He is the founder of the Casalee Group.-Early life:...
, held 80% of KMC while the state-owned Gecamines
Gécamines
Gécamines, or La Générale des Carrières et des Mines, is a state-owned mining company in the Democratic Republic of Congo . Its principal products are copper , cobalt and zinc...
held 20%
In June 2006 Dan Gertler
Dan Gertler
Dan Gertler is an Israeli businessman, the founder and President of the DGI Group of Companies. He has large interests in diamonds and copper mining in the Democratic Republic of the Congo .-Background:...
bought Tremalt
Tremalt
Tremalt Limited was a mining company incorporated in the Democratic Republic of the Congo . It was the vehicle for a highly criticized deal in 2001 in which it bought copper assets at far below their estimated value in return for a private agreement to pay a share of profits to the DRC and Zimbabwe...
for about $60m.
The sale was to Prairie International, of which Dan Gertler’s family trust was a major shareholder.
Tremalt owned 80% of Savannah Mining, a successor to KMC that held concessions C17 and C18 in Katanga Province and 50% of the Mukondo project.
Billy Rautenbach
Billy Rautenbach
Billy Rautenbach, also known as Muller Conrad Rautenbach , is a multimillionaire Zimbabwean businessman. He is known for his aggressive business tactics and is believed to have close links to ZANU-PF and the government of Robert Mugabe...
, a Zimbabwe businessman, owned Boss Mining, which controlled the other 50% of the mine.
In a February 2006 deal, Rautenbach gained about 17% of the CAMEC shares when CAMEC bought 80% of Boss.
Boss Mining had rented and operated Bredenkamp's half of Mukondo. Gertler terminated this arrangement when he bought Tremalt.
Gertler and CAMEC made plans to combine the Mukondo assets into a new holding company to be operated by CAMEC.
Billy Rautenbach would be paid out and excluded from ownership in the new company due to the hostile relations that had developed between him and the DRC government.
CAMEC and Prairie International signed the MOU to complete the deal in November 2007.
In September 2009 the Eurasian Natural Resources Corporation
Eurasian Natural Resources Corporation
Eurasian Natural Resources Corporation PLC is a diversified natural resources company headquartered in London, United Kingdom. It has activities in mining, processing, energy, logistics and marketing....
(ENRC) of Kazakhstan
Kazakhstan
Kazakhstan , officially the Republic of Kazakhstan, is a transcontinental country in Central Asia and Eastern Europe. Ranked as the ninth largest country in the world, it is also the world's largest landlocked country; its territory of is greater than Western Europe...
made a £584-million cash offer for CAMEC.
The deal was closed in November 2009.
Operations
The joint venture was to extract cobalt from Mukondo, reopen the Kakanda concentrator and control the LuitaLuita
The Luita plant will be the largest copper and cobalt processing plant in Africa, and the largest cobalt facility in the world. It is being built in modules by the Central African Mining and Exploration Company in Katanga Province, Democratic Republic of the Congo.The Luita plant is designed to...
copper cobalt SX/EW facility.
In February 2008 the two companies announced that the Mukondo Mountain operations had restarted.
In July 2008 CAMEC said the Luita facility, due to be completed later that year, would be the largest of its kind in the world.
The target was to produce 100,000 tonnes per year of copper cathode.
In July 2009 CAMEC announced a long term agreement under which CAMEC would deliver its entire annual production of cobalt in concentrate from Mukondo Mountain to Zhejiang Galico Cobalt & Nickel Materials of China.