Commodity buying and selling firm Trafigura has closed a $600m syndicated financing facility with the Japanese and Southern African Commerce and Growth Financial institution (TDB) to develop cobalt and copper mines within the Democratic Republic of Congo.
The funding could be utilized by Trafigura to finish its new mechanised mine at Mutoshi, the processing plant in Kolwezi, and develop the Etoile mine and processing plant in Lubumbashi.
TDB served because the mandated lead arranger of the financing.
Trafigura stated in an announcement: “Africa and the Democratic Republic of Congo specifically are endowed with a few of the largest reserves of minerals required to catalyse the worldwide vitality transition in the direction of a net-zero world.
“An necessary part of this settlement entails the enhancement of ESG compliance and accountable sourcing consciousness and implementation, in keeping with IFC Efficiency Requirements and OECD Tips.”
The Mutoshi mine, which is deliberate to start out manufacturing by the fourth quarter of 2023, is predicted to grow to be the world’s third-largest cobalt mine. It would have an annual manufacturing capability of 16,000t of cobalt hydroxide and 48,000t of copper cathodes.
Michael Awori, TDB CEO stated TDB and Trafigura have been collectively working over the previous few years to satisfy the vitality wants of TDB member states.
Trafigura nickel and cobalt buying and selling head Socrates Economou stated: “We stay up for welcoming further worldwide and African banks to the syndicate in subsequent rounds of refinancing for these important developments for the availability of essential minerals and the DRC economic system.”
The most recent transfer follows Trafigura’s preliminary $600m financing settlement with Chemaf Assets and built-in copper and cobalt producer Chemaf SA.
