USA secures more critical mineral in the DRC

USA secures more critical minerals in the DRC

The USA is showing its hand in the DRC with more critical mineral deals expected.

By Leon Louw founder of WhyAfrica and Endorphin Expeditions and editor of the WhyAfrica magazine.     

Soon after M23 rebels withdrew from the town of Walikale, in the North Kivu province of the Democratic Republic of Congo (DRC), where Alphamin Resources operates the Bisie tin mine, Reuters reported that the USA “pushed for a deal that would ensure the reopening of a major tin mine in war-hit eastern DRC.”

Not too long after that Alphamin resumed operations at Bisie while “continuing to monitor the security situation.” (according to a statement by Alphamin).

Bisie is one of the highest-grade tin mines in the world.

Significant investment expected in DRC

On the 25th of April the USA Government brokered a piece deal between the DRC and Rwanda.

The joint declaration signed by the three parties stated that the DRC and Rwanda can expect significant investments facilitated by the US government and the US private sector.

Hot on the heels of the announcement, USA based KoBold Metals, backed by a group of tycoons (including Bill Gates and Jeff Bezos), announced that they will further expand their interest in the DRC, including lithium acquisitions.

Kobold made a bid for the Manono tin and lithium project, developed and owned by Australian based AVZ Minerals, which resulted in a dispute.

Manono is reportedly one of the largest lithium deposits in Africa and with its significant tin deposits, is extremely strategic for the USA.

Kobold acquires Manono from AVZ

Yesterday, AVZ released an announcement stating that AVZ believes efforts by the USA to bring about piece in the region demonstrate the US Government’s recognition of the important role that Manono can play in advancing the DRC’s interests in the global lithium value chain and provide more balanced critical minerals supply chains.

“AVZ is supportive of future investment of US interests in Manono and earlier this week agreed to a non-binding framework with Kobold Metals to purchase AVZ’s interest in Manono. AVZ supports the discussions between the DRC and the USA to provide a safer, stronger and more prosperous Great Lakes Region,” AVZ states.

Tin and lithium critical in the USA

Both tin and lithium are recognised as critical minerals in the USA. The production levels of tin and lithium are extremely low in the USA compared to the rest of the world.

To read more about Africa and how today’s geopolitics affects the continent and to understand the importance of Africa’s natural resources in a global economy, visit the WhyAfrica website, your one-stop shop for on the ground information about Africa.

WhyAfrica specialises in the sustainable use and responsible extraction of Africa’s natural resources.

USA secures more critical minerals in the DRC