Trafigura secures financing from TDB to develop cobalt and copper mines

While catering to the growing global demand for cobalt and copper, the facility will contribute substantial economic value and social impact for the country, with thousands of jobs created and sustained, and several service contracts for DRC-based companies.

The facility will enable the completion of the new mechanised Mutoshi mine and processing plant in Kolwezi, and the expansion of the Etoile mine and processing plant in Lubumbashi. The Mutoshi mine, which will become the third largest cobalt mine globally, is expected to start production by 4Q23, with a production capacity of 16 000 t of cobalt hydroxide and 48 000 tpy of copper cathodes.

In January this year, Trafigura, one of the world’s leading independent commodity trading companies, concluded an initial US$600 million financing agreement with Chemaf Resources Ltd (formerly Shalina Resources Limited) and Chemaf SA, a leading vertically integrated copper and cobalt producer in the DRC. Thereafter, TDB and other financial institutions were invited by Trafigura to participate in this secondary syndicated transaction, with TDB as MLA.

Michael Awori, TDB CEO, said:

“Over the past few years, TDB and Trafigura have been working together to meet the energy needs of TDB member states. We are delighted to expand our collaboration with this impactful facility in the DRC, which will not only make its mark in terms of job creation and economic development for the country, but also boost our efforts towards climate change imperatives, by contributing to an increase in supply of metals which are essential to the energy transition.”

Socrates Economou, Head of Nickel and Cobalt Trading for Trafigura, said:

“We’re delighted that TDB and an initial syndicate of banks have chosen to join the facility. We look forward to welcoming additional international and African banks to the syndicate in subsequent rounds of refinancing for these vital developments for the supply of critical minerals and the DRC economy.”

Read the article online at: https://www.globalminingreview.com/mining/22112022/trafigura-secures-financing-from-tdb-to-develop-cobalt-and-copper-mines/