Conflict and Minerals

The whole issue of conflict and natural resource management has become topic of major concern to many Governments, mining companies and NGOs. Hollywood moves like Blood Diamond have altered the public to the notion of minerals fuelling conflict and civil instability in Africa. No where is the issue of conflict and minerals more pertinent than the Democratic Republic of Congo (DRC). The statistics on the mineral potential of the DRC are well documented and numerous superlatives often espoused with respect to ‘geological scandal’ of the DRC, however, as many have proclaimed this resource endowment has been a curse for the DRC throughout its history. From the colonial days when the territory was the personal fiefdom of King Leopold II of Belgium the country was pillaged for natural resources using indentured labour with countless atrocities against the indigenous people. Then as Zaire under the leadership of President Mubutu Sese Seko the state mining parastatals (e.g. Gecamines, OKIMO and MIBA) and were used to fund his kleptocratic tendencies. More recently (1998-2003) the mineral resources perpetuated the war in the DRC that resulted in the death of over four million Congolese people.

Today the DRC has a fragile peace and the new recently elected Government is eager to ensure that its mineral wealth helps to develop the nation. International agencies such the World Bank, the UK’s Department for International Development (DfID), the US Agency for International Development (USAID) and many other European donors are keen to help the new Congolese government build the capacity and institutional strength to competently and transparently manage the mining sector.

One area of the mining sector that is particularly vulnerable is the artisanal mining sector that presently accounts for over 80% of the DRC’s mineral production.  In a post-conflict country like DRC, artisanal mining is a valued livelihood with an estimated 2 million miners. These miners (called creuseurs and orpaillers in the DRC) exploit gold in areas like Orientale, coltan and cassiterite in the Kivus, copper/cobalt ores in Katanga and diamonds in Kasai.  However, this sector is plagued by child labour, environmental devastation, conflict with the large scale mining operators, lack of occupational health and safety, an exploitative regime, corruption, and myriad of other problems that constrain the sector. Given the importance of this sector there is a growing interest from donors, mining companies and NGOs keen to understand and help formalise and empower the sector.

Wardell Armstrong LLP, through Kevin D’Souza (Artisanal Mining specialist) has been working on artisanal mining projects in the DRC for many years for a variety donors, mining companies and NGOs. Based on this unique experience, Kevin has been asked to speak at Chatham House in London on this very topical issue on 24^th April 2007. This event is by invitation only, however, interested parties can apply to Wardell Armstrong and request an invite.