DRC verdict coming soon: Camec Times (SA) Date posted:Mon 22-Oct-2007 Date published:Fri 19-Oct-2007
Back to previous page		Still 100% confident of the rightful ownership of its mining licences in the DRC By Sherilee Bridge Central African Mining & Exploration (Camec) expects an outcome to its well-publicised battle with the Democratic Republic of the Congo (DRC) over confiscated mining licences within a month. The company, which was forced to abandon its C$1.52 billion (or about 10.4 billion rand) hostile bid for Canadian-listed company Katanga Mining because of uncertainty relating to the mining licence regime in the DRC, said that a court hearing had been held in Lubumbashi. It said in a statement that the court hearing was requested last month by DRC’s state-owned mining company Gecamines to review part of a judgement by Le Tribunal de Grande Instance. The tribunal found that the original transfers of licences for mining properties in the DRC were made in accordance with the law and were therefore valid. Camec was informed late August that the attorney general of the DRC was taking steps to revoke certain of Camec’s mining licences. At the time Camec said there was no valid legal basis for any revocation and that the announcement was clearly timed to impact its offer for Katanga. The licences, together with those owned by Kababankola Mining Company (KMC), arose from the settlement in 2004 of an international arbitration through the International Centre for the Settlement of Investment Disputes and the transfer of the licences affected under the DRC’s new Mining Code proceeded in accordance with that settlement. Camec also indicated that it would pursue the issue through international arbitration should this prove necessary but the "favourable judgment" from Le Tribunal de Grande Instance, the court that rules on the enforcement of authentic titles in the DRC in regard to the mining, satisfied the company that it could continue to run its businesses in the DRC. But the DRC government refuted the ruling the same day, saying the ’licences’ were improperly obtained originally and are still invalid. "The court hearing has taken place today and the court’s ruling is expected within a month," said Camec. It added that it was still 100% confident of the rightful ownership of its mining licences in the DRC. "We have invested over US$150 million in our DRC projects... employ over 3,000 people and are the only non-state company currently producing copper cathode in the DRC," Camec said. It said it regretted the insecurity and disruption that "this unwarranted legal process is creating and looks forward to an expeditious conclusion". Besides the DRC, Camec has operations in Mali, Mozambique, South Africa and Zimbabwe.