Congo gold miner halts operations in tax dispute with M23 rebel administration
Reuters | May 9, 2025 |
Twangiza gold mine. Credit: DRA Global
Twangiza Mining, a gold miner operating in the rebel-controlled South Kivu Province in the eastern Democratic Republic of Congo, said it has been ordered to suspend operations by the rebel administration, according to a company-wide letter seen by Reuters.
The company, which is managed by Hong Kong-registered Shomka Resources, informed employees of an immediate work stoppage in the letter dated May 8.
“Following directives from the new administration in place in South Kivu Province, Twangiza Mining is obliged to suspend its activities,” the letter signed by general director Chao Xianfeng said, adding that equipment and vehicles were being placed on standby mode.
The decision highlights tensions over resource control in Congo’s mineral-rich eastern regions, where M23 rebel advances have placed strategic mining assets under new administration, creating uncertainty for international operators and commodity markets.
The Rwanda-backed rebels seized control of Congo’s two mineral-rich eastern provinces earlier this year, and are solidifying their control over the captured territories.
Manu Birato, who was recently installed as M23 governor of the South Kivu Province, said Twangiza Mining must adapt to new regulations and pay taxes they have not been paying.
“We are in talks with them and showing them that from now on they must start paying taxes,” Birato told Reuters.
“The country had received absolutely nothing in taxes from this company. The money went into private coffers,” he said, adding that the administration had not ordered the shutdown of operations.
“We told them they had to start paying taxes. They are having a hard time adjusting to this new requirement, given that they were used to paying nothing,” Birato said.
A spokesperson for Twangiza declined to comment on Birato’s assertions.
Twangiza Mining is a joint venture between Congolese-owned Shomka Capital with a 65.5% stake, and Chinese Baiyin International Investments Ltd, which holds a 34.5% share.
(By Yassin Kombi and Maxwell Akalaare Adombila; Editing by Bill Berkrot)
Reuters | May 7, 2025 |
Sadiola mine in Mali. Credit: SEMOS SA via Facebook
A convoy transporting heavy mining equipment from the Malian capital Bamako to Allied Gold’s Sadiola mine came under attack in the Kayes region over the weekend, two people familiar with the incident told Reuters late on Tuesday.
The attack points to expanding security risks – and related additional costs – facing mining companies operating in military-led Sahel states that are struggling to contain Islamist militant groups.
While government and military convoys more frequently come under attack in Mali, attacks on mining equipment have until now been rare.
The CEO of Canadian gold miner Fortuna this month told Reuters that increased security concerns due to jihadist threats were among the reasons the company recently decided to exit Mali’s neighbour Burkina Faso.
In Sunday’s attack, two large trucks were set alight, an excavator was damaged and two pick-up trucks were stolen, one of the sources familiar with the incident said. No group has yet claimed responsibility for the attack.
The equipment belongs to the local Caterpillar dealer Neemba and had been leased to the subcontractor Mota-Engil, which operates at Sadiola’s quarry, the sources said.
Eight people present – all employees of Neemba – were unharmed in the attack, which the sources said was disrupted by soldiers from the Malian army who had been nearby.
The incident took place between the towns of Diema and Sandare, the sources said. A separate security source confirmed an attack had taken place in that location on Sunday, but was unable to provide further details.
Spokespeople for Allied Gold, Neemba and Mota-Engil and a spokesperson for Mali’s army did not immediately respond to requests for comment.
Mali is one of Africa’s largest gold producers, with mining companies including Barrick Gold, B2GOLD, Resolute Mining, Endeavour Mining and Hummingbird Resources active in the gold-rich western and southern regions.
In February 2024, three employees of the Canadian miner B2Gold were killed in an attack on a convoy transporting them from the Fekola gold mine in southwest Mali to Bamako, the company said at the time.
But two sources with knowledge of that incident told Reuters the buses had been mistaken for a military convoy.
Mali, Burkina Faso and Niger have experienced coups in recent years carried out by military officers who vowed to push back jihadist groups affiliated with Al Qaeda and the Islamic State, though rampant insecurity persists in all three countries.
(By Portia Crowe; Editing by Robbie Corey-Boulet and Jan Harvey)
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