Ivanhoe Mines responds to media reports regarding exports of copper concentrates from the Democratic Republic of the Congo
Kolwezi, Democratic Republic of the Congo – (Newsfile Corp. – May 28, 2021) – Ivanhoe Mines (TSX: IVN) (OTCQX: IVPAF) today responds to a media report indicating that miners in the Democratic Republic of the Congo (DRC) received on May 26, 2021 an order banning the export of copper and cobalt concentrate from the country.
Ivanhoe Mines confirms having read the decree sent to customs officers by the provincial director of customs and excise in the province of Katanga in the DRC. Ivanhoe Mines is also aware of a subsequent letter confirming that companies that have received a letter of exemption from the Minister of Mines will be allowed to export concentrates.
A sectoral exemption to the ban on the export of concentrates expired on April 12, 2021 and was replaced by a framework allowing the Minister of Mines to grant individual exemptions on a case-by-case basis following a request for a interested party.
Ivanhoe Mines President and Chief Financial Officer Marna Cloete said: “The ban on the export of concentrates is not new. However, the rules now recognize that a waiver may be justified for a number of reasons. Kamoa Copper has filed the necessary application documents and we have had discussions with the Minister of Mines on obtaining a waiver for Kamoa-Kakula given the current limitations on fusion capacity in the country. ”
Ms. Cloete continued, “We fully intend to use the local foundry capacity where possible. Additionally, as we announced in March, Ivanhoe Mines, along with our joint venture partner Zijin Mining, is evaluating the construction of a smelter at Kamoa-Kakula for the production of blister and anode copper. This is all part of our intention to operate responsibly in the DRC for generations to come, and for the benefit of all our stakeholders, including the DRC government which is our 20% partner Kamoa Copper. “
Commercial production of copper begins
On March 26, 2021, Ivanhoe Mines announced the start of phase 1 copper concentrate production, 3.8 million tonnes per year (Mtpa) from the Kamoa-Kakula mine, several months ahead of schedule.
On May 26, 2021, Ivanhoe Mines senior management met with representatives of the DRC government as part of the rapid start of production, including His Excellency Félix Tshisekedi, President of the Democratic Republic of the Congo. (Left): President Kgalema Motlanthe, former president of South Africa and independent director of Ivanhoe Mines; Félix Tshisekedi, President of the Democratic Republic of Congo; Marna Cloete, President and Chief Financial Officer of Ivanhoe.
Kamoa Copper is the DRC operating company of the joint venture between Ivanhoe Mines, Zijin Mining Group, Crystal River and the DRC government that is developing the Kamoa-Kakula copper mine.
About Ivanhoe Mines
Ivanhoe Mines is a Canadian mining company focused on advancing its three main joint venture projects in Southern Africa: the development of new major mechanized underground mines at the Kamoa-Kakula copper discoveries in the DRC and at Platreef palladium-rhodium-platinum – discovery of nickel-copper-gold in South Africa; and the redevelopment and upgrading of the historic Kipushi zinc-copper-germanium-silver mine, also in the DRC.
Kamoa-Kakula started producing copper concentrates in May 2021 and, through gradual expansions, is able to become one of the largest copper producers in the world. Kamoa-Kakula and Kipushi will be powered by clean, renewable hydroelectric power and will be among the lowest emitters of greenhouse gases in the world per unit of metal produced. Ivanhoe Mines is committed to achieving net zero operational greenhouse gas emissions (Scope 1 and 2) at the Kamoa-Kakula copper mine when large-scale electric, hydrogen and hybrid underground mining equipment becomes available on the market. Ivanhoe is also exploring new copper discoveries on its wholly-owned exploration licenses for Western Foreland in the DRC, near the Kamoa-Kakula project.