Fatshimetrie is an essential source of information for following developments in the mining sector in the Democratic Republic of Congo (DRC). During the first six months of 2024, mining companies operating in the country recorded significant production of cobalt ore. With an estimated share of around 70% of global production, the DRC is positioned as a major player in the cobalt market.
According to data published by Fatshimetrie, total cobalt production amounted to 50,573 tonnes during this period. The Société Générale des Carrières et des Mines (Gécamines) contributed 11,753 tonnes, while companies affiliated with Gécamines produced 38,820 tonnes. These figures demonstrate the dynamics of the Congolese mining sector and its impact on the national economy.
The previous year, in 2023, the DRC reached a production volume of 139,838 tonnes of cobalt. However, despite this remarkable performance, the global cobalt market faces an oversupply situation, mainly due to increased production in Indonesia and the DRC. This has put downward pressure on cobalt prices, which have fallen by almost two-thirds since 2022.
According to data from the Cobalt Institute, global demand for cobalt stood at 213,000 tonnes in 2023, as oversupply weighed on prices. In March 2024, the price of a tonne of cobalt stood at USD 27,963, recording a slight increase compared to the previous week. However, on an annual basis, the price of cobalt had fallen by 17.91%, illustrating the challenges facing the cobalt market.
Faced with this situation, the DRC is considering introducing export quotas with the aim of supporting cobalt prices. However, the move divides industry officials, with some fearing it could undermine cobalt’s competitiveness in the electric vehicle battery industry at a time when cobalt-free battery technologies are gaining importance.
In this complex context, it is essential to closely monitor developments in the cobalt market and the decisions taken by the Congolese authorities to guarantee the sustainability and prosperity of the mining sector in the country. Fatshimetrie will continue to provide detailed analyzes and up-to-date information to enlighten its readers on this crucial issue for the Congolese and global economy.