SMM11, 16 March: a week after Katanga Mining, a subsidiary of Glencore, suspended cobalt exports from its Kamoto mine in the Congo, its copper exports were also suspended because the company was said to have failed to declare and pay tariffs of 6650 tons between the end of 2015 and the beginning of 2016.
Although Glencore's Katanga said on Thursday that current copper production remained at normal levels, it warned that its earnings would be affected if the dispute was not resolved.
Glencore said, "unless the dispute with DGDA (customs authorities) is resolved, the import and export license of, KCC (Kamoto Copper Company) is resumed in the near future. Otherwise, the suspension of imports and exports will have a negative impact on the company's production and revenue.
Glencore declined to comment, while the Congolese authorities did not immediately comment.
In addition, last week, Katanga said it was suspending cobalt exports and setting up a uranium removal facility, meaning the mine's cobalt products had completely stopped exporting.
In a statement of results on Thursday, Katanga said DGDA had issued an order on Nov. 9 temporarily banning the import or export of any materials, including copper.
Katanga is currently challenging the allegations, which occurred after the company reported an additional 6650 tons of copper cathode production in December 2014. It said on Thursday that it was unreasonable for DGDA to demand a levy on copper even if it was not produced or exported.
In a previous statement, the Congolese authorities said they were seeking negotiations with international operators.
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