Mining Investors Spooked as African Dispute Payments Multiply


Miners across Africa are increasingly using one-time payments to settle disputes with governments, a trend that’s disturbing some investors.

A $150 million payment by Glencore Plc’s Katanga Mining Ltd. to the Democratic Republic of Congo’s Gecamines earlier this month followed Freeport McMoRan Inc.’s separate $100 million settlement with the state-owned company in January 2017. Last October, Barrick Gold Corp. proposed paying Tanzania $300 million as part of efforts to negotiate a settlement for its majority-owned Acacia Mining Plc.

The shift, identified by the Extractive Industries Transparency Initiative — which promotes good governance in the mining industry — comes as African nations seek redress from old contracts…

Read More

*** This news item is 3rd party content and is included strictly for non-commercial informational purposes.

320ro

Comments

comments