2023-10-03 22:06:46
More than four months following being sanctioned by the Ministry of Mines in the DRC, the activities of Boss Mining, a member of the ERG group, are at a standstill until the end of November. The economic consequences are already being felt in the city of Kakanda where the company that produces copper and cobalt is located. Its employees fear for their future, because subcontracting companies have closed their doors.
From our correspondent in Lubumbashi
Economic activities depend 90% on Boss Mining in Kakanda. It is the only operational company in this region. Marcel Kalubi sells various products at the Kakanda market. Since the company was hit by sanctions from the Congolese government, its business has stopped operating. In three years, it lost more than 70% of its turnover. “ Boss Mining had at least 3,000 workers and 2,000 were residents of Kakanda. At that time, activities were running smoothly. I, for example, might generate revenue of a million Congolese francs over two or three days. But currently, my daily income does not exceed 40,000 Congolese francs. Kakanda, without Boss Mining it’s difficult », laments the trader.
It is also difficult for the workers of this company, because their future is hypothetical. The company only relaunched its mining activities in November 2022 following a three-year hiatus. ERG and its partner Gecamines had decided to devote this period to equipment maintenance and mobilizing investments. Just six months following the takeover, the company was sanctioned for having caused the death of eight people and significant damage following the overflow of its basin last April. However, Boss Mining expected to reach, at the end of the year, a production of 1,800 tonnes of copper and 300 tonnes of cobalt. This company agent who requested anonymity is worried.
Daily consequences
« We fear that these sanctions will push the company to close. There are also the subcontracting companies that were here and have already stopped their activities. Some workers in these companies are on technical leave. We, from Boss Mining, are still here, but we fear that this sanction might send us to the garage. »
The community of this former Gecamines city is also impacted by the cessation of Boss Mining’s activities. The cost of water and electricity, for example, hitherto covered by the company, risks falling on this population. The education sector is not spared, indicates Ben Kabajika, civil society coordinator of Katanga: “ To date, several families have not sent their children to school due to lack of financial resources. The phenomenon of minor children (present in mining quarries) is starting to grow. Purchasing power drops significantly, because Kakanda lives thanks to the presence of the company. »
A team from the Ministry of Mines has just carried out an assessment mission in this city. Boss Mining workers and local communities hope to see the government lift sanctions on the company, their only source of income.
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