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 Democratic Republic of Congo has suspended the board of directors and management of state-controlled diamond mining company MIBA, after an audit revealed significant irregularities, the government said in a statement.
The audit identified a host of problems including compliance, governance, production and financial management, the statement by Congo president’s office said following a council of ministers meeting on Friday.
It added that Congo’s mines ministry will propose measures to revamp the company.
Founded in 1961, MIBA was formerly a jewel in minerals-rich Congo’s minerals industry, with gold, nickel and copper in its portfolio. However, years of mismanagement, illegal mining, smuggling, and political instability have hobbled the company.
(By Hereward Holland and Bate Felix; Editing by Christina Fincher)
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