DRC mines minister,
Martin Kabwelulu.

Kinshasa, DRC — 05 November 2012 –  Plans by the government of the Democratic Republic of Congo (DRC) to increase its stake in mining projects from 5% to 35% would not be applied retroactively, according to the country’s mines minister, Martin Kabwelulu.

This was reported by Miningmx, quoting from a Reuters interview with the minister.

The proposals also include changes to the country’s royalties system, as well as alterations to the term of exploration licences. Reuters was quoting from a draft proposal of the mining law changes which it said it had in its possession.

According to the draft, mining royalties on non-ferrous metals would increase to 4% from 2%, while strategic and precious metals royalties would increase to 6% from 2.5%. Coloured stones would attract a 6% royalty up from the current 4%.

Mining royalties would remain unchanged at 1% for industrial metals, solid hydrocarbons and other non-cited substances, and at 0.5% for iron and ferrous metals, the draft proposal added.

Exploration permits would have a three-year term compared to four or five years currently, while a licence to mine would be reduced to 25 years from 30 years as per the current mining law.

“At each renewal, the state can look at the possibility of renegotiating the modalities of its participation,” the draft proposal said. 

Source: Miningmx. For more information, click here.