South Kivu Governor Suspends All Mining Operations

The governor of Democratic Republic of Congo (DRC) South Kivu province, Jean-Jacques Purusi Sadiki, has halted all mining activities in the region, significantly impacting the production of tantalite, tin, and gold. This directive, issued on July 18 and shared via social media platform X, demands all mining companies, businesses, and cooperatives cease operations and vacate mining sites within 72 hours.

Governor Sadiki emphasized that the suspension aims to restore order, ensure the traceability of minerals, and protect human lives. A meeting with mining stakeholders is scheduled for July 30 to discuss the state of mining operations in the province.

South Kivu is a crucial producer of tantalite, essential for the electronics and aerospace sectors, as well as gold and cassiterite (tin ore). These minerals are classified as conflict minerals, often linked to funding armed conflicts in the DRC.

Multiple tantalite mining operations in South Kivu have ceased production following the governor's order, as confirmed by Metalnomist. Market participants are closely monitoring the situation. "The announcement was really bad… but these situations seem to work themselves out," noted one market participant.

The halt in mining operations is expected to exacerbate the already strained tantalite supply chain, worsened by ongoing conflicts in neighboring North Kivu province. In April, the M23 militia group seized Rubaya, a key mining town, disrupting essential transport routes. "Production in Congo is falling like a stone," remarked another market participant to Metalnomist.

Despite the supply constraints, tantalite prices have been declining. As of July 23, Metalnomist assessed prices at $74-78/lb cif main port, down 5% from earlier this month. This decrease is attributed to weaker demand from Chinese smelters and the electronics sector, as well as sourcing concerns from the DRC and Rwanda.