According to local media in the DRC on July 10, the country’s General Directorate of Taxes (DGI) sealed off some offices and facilities of Kamoto Copper Company (KCC) in Kolwezi, Lualaba Province, on July 9. The DGI stated that KCC is involved in a tax arrears situation of nearly $3 billion. The sealing action led to the evacuation of some personnel, and copper and cobalt production at the affected sites was temporarily suspended. The exact scope of the sealing, its duration, and the actual impact on the mine and smelting systems remain to be further confirmed.
As SMM has learned, KCC’s copper cathode production over the past two years has been around 190,000 mt each year. If the sealing measures persist and materially affect production or product deliveries, it is expected to cause periodic disruptions to copper and cobalt supply from the DRC. Going forward, close attention should be paid to the resumption of KCC’s operations and the progress of the tax dispute resolution.
