Congolese authorities are celebrating a successful negotiation outcome, having secured an additional $5.8 billion in discussions with the consortium of Chinese companies involved in the “deal of the century,” granting access to copper and cobalt mines in exchange for infrastructure development.
On Monday evening in Kinshasa, the Inspector General of Finances, the Ministers of Public Works, and the Deputy Chief of the Presidential Cabinet, who participated in months-long negotiations, unveiled the key points of the conclusions.
The Chinese side retains approximately $100 million in exemptions, but Kinshasa believes that this loss will be offset by the anticipated volume of infrastructure development. This year, the Chinese consortium is expected to pay $624 million to the DRC, followed by an annual payment of $324 million starting next year.
The Chinese companies, which had initially paid only $1.2 billion over 15 years, will now be required to contribute nearly $6 billion over the next two decades.
The expected billions, according to the government, will be invested in the construction of nationally significant roads to facilitate the opening up of provinces. The DRC is also set to receive $240 million in royalties from the annual turnover of Sicomines.
The joint venture, in which Kinshasa holds a 32% stake, will no longer be solely managed by the Chinese side. This shared management aims to enhance control over production and sales before certifying the reported figures, stated Inspector General of Finances, Jules Alingete.
The Congolese side has also secured co-management of the Busanga power plant owned by Sicomines. Their ownership stake has quadrupled, although the Chinese retain a 60% majority share. The renegotiated terms mark a significant development in the management and benefits derived from this strategic partnership.