Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
The eastern part of the Democratic Republic of Congo (DRC) has long been recognized as a major source of conflict minerals.
Although the DRC’s natural wealth is an important source of income, it also presents a classic example of a resource curse. Militia groups control the country’s mines, fuelling conflicts with profits derived from mineral sales.
In an effort to expose and monitor these mining operations, a Belgian research group called the ‘International Peace Information Service’ (IPIS) has been creating the first maps of eastern DRC’s artisanal mining areas.
Eastern Congo’s major conflict mineral: Gold point on map represents gold mine | Image from IPIS’ interactive map
After releasing the first of such maps in 2009, the organization has now released a second version. By collaborating with the Congolese mining cadastre, IPIS has set up a permanent system to monitor artisanal mining activities and the involvement of armed groups in mineral exploitation and trade.
IPIS’ research has shown that gold is the currently the most important source of conflict minerals in the region.
“Even though there have been previous indications about the great extent of artisanal gold mining in the region, the data collected suggest a scale that probably surpasses any estimate or expectation,” the report reads. “The number of miners active in gold mining … is nearly four times higher than that for tin, tantalum and tungsten combined.”
Read more about conflict minerals: This is how the Congo supplies ‘conflict minerals’ to the IT world
The report authors urge the country to formalize and control gold mining operations, as the DRC’s “gold production is exported almost entirely unrecorded.”
In an interview with Voice of America, Judith Sargentini – a member of the European parliament who is campaigning for a European conflict minerals law – said that while US legislation to curb the influx of conflict minerals has had a big effect on tin, tungsten and tantalum, gold is still very profitable for armed groups.
“You do not smuggle a pack of tin because it is just too heavy and it is only worth it if you have plenty of it, whereas gold is like diamonds – it is easier, Sargentini said. “So I think it is much more difficult to certify, which shows again that certification is not necessarily the way forward.”
See IPIS’ full interactive map here.
Image featured on homepage by: Julien Harneis
5 Comments
Malique Rosenburg
I am writing a book on Economic Terrorism. Focusing on the Congo. You can give info to my page. Scammers coming soon.l
Kithinji kwiriga
I am so sick about this double talk.when these foreigners.write they fail to indicate one factor.that is where the minirals end up and who steals congolese minirals in Europe and americA.
Kithinji kwiriga
Yes the whole story we need to know who funds the conflict and people and companies who where the minirals end up in Europe and america
Kithinji kwiriga
Most of the weapons which are used to fuel the conflict is not made in drc but in Europe and america.we need to know the role the French the Belgians and Americans play in these conflicts.we need know who makes these weapons and who delivers them to drc. It is time to know the real war criminals.
Kithinji kwiriga
My instincts tells me that the source of all the conflict in drc is control uranium.i understand the uranium which the Americans used to make the nuclear bomb in 1945 dropped in Japan came from drc.