AVZ Minerals shareholders are preparing for a crucial General Meeting to be held on November 23. The challenge of this meeting is to appoint three new administrators in order to regain the trust of the Congolese government and the partners of the “Manono lithium” project.
Since its acquisition of 60% of the shares of “DATHCOM MINING” in 2017, AVZ Minerals has encountered difficulties in its relationship with government agencies in the DRC. Despite its responsibility to manage DATHCOM MINING, the company failed to obtain the transformation of the research permit into an exploitation permit, which led to the termination of the joint venture contract.
These problems are aggravated by conflicts with minority shareholders, who accuse AVZ Minerals of opaque management and of wanting to appropriate almost all of the shares at ridiculous prices. In addition, several lawsuits have been filed against the company before national and international courts.
It is therefore crucial for AVZ Minerals shareholders to choose conciliatory and experienced directors at this general meeting. This would restore confidence in the “Manono lithium” project and promote constructive negotiations with the various partners, such as COMINIERE SA, representing the interests of the DRC, DATHOMIR and JIN CHENG.
It is essential that AVZ Minerals commits to respecting the Congolese state and the rights of its partners, in order to achieve a peaceful resolution of conflicts rather than resorting to legal proceedings.
Although negotiations with the Congolese government have begun, it is important to note that the DRC is not a shareholder of DATHCOM MINING and that its interests are represented by COMINIERE SA. The new management of AVZ Minerals, which will soon be announced, will therefore have to take these different stakeholders into account to relaunch the project and ensure its development.
In conclusion, effective dispute resolution and close collaboration with business partners will enable AVZ Minerals to revive the “Manono lithium” project and make it a beneficial success for all stakeholders, including the country, people local authorities and the shareholders of DATHCOM MINING and AVZ Minerals.