30th May 2018 10:50
LONDON (Alliance News) - Miners in the Democratic Republic of the Congo have warned the country faces a more than USD3 billion shortfall over a decade if it proceeds with its new mining code, Bloomberg News reported on Tuesday.
Companies would suffer "major" financial losses due to the new code, it said, leading to producing mines being closed and development projects being left unfinished.
London- and Johanesburg-listed mining firms such as Glencore PLC and Randgold Resources Ltd are in talks with the DRC government over certain issues with the new code.
Discussions ended earlier May without a satisfactory outcome, Bloomberg said.
The new code includes a rise in royalties on base metals as well as a 50% tax on 'super' profits, and was passed by both houses of DRC's parliament in January.
https://www.bloomberg.com/news/articles/2018-05-29/miners-warn-congo-it-faces-3-billion-revenue-loss-over-new-law
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