Congo Proposes New Contracts for Mines
A model contract drawn up by the Congo Mines Ministry has proposed that state-owned mining companies retain a 35% stake in all future mining projects in the country.
Congo deputy chief of staff for mines Valery Mukasa told Bloomberg the document will provide an example for all accords with Congo's state-owned mining companies.
Under the proposed contract, the companies are required to pay a signing bonus of 1% of the value of their mineral concessions to the state-owned mining partner.
The companies forming joint-ventures need to pay a 2.5% royalty fee on gross receipts from all mineral product sales to the state-miner.
The contract also requires the companies to conform to the requirements of the Extractive Industries Transparency Initiative, a global standard that aims to improve accountability in the mining, oil and natural gas industries.
The contract was drawn up last month and is currently awaiting approval by the government.