The closure of Mutanda is a disaster for the economy in one of Africa’s poorest countries
Glencore Plc hopes mothballing the world’s largest cobalt mine in the Democratic Republic of Congo will revive prices, but it’s likely to carry a significant political cost.
Although Glencore informed the Congolese government it was closing the mine, the government said it’s still formulating a response. Cobalt quickly transformed from a star performer to a headache for the world’s biggest producer of the key battery ingredient. After quadrupling in two years, prices have now collapsed back to the lowest since 2016 as new supplies pour into the market. With few hedging tools available — the downturn left Glencore’s trading business with a US$350-million loss on inventories it had built up — the slump left Glencore exposed and forced the radical plan of shutting Mutanda.
But investments in the African country has been marred by operational and political problems for Glencore and billionaire CEO Ivan Glasenberg.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Rwanda, Congo restrict unnecessary border travel amid EbolaRwanda and Congo are discouraging travel across their border, as officials try to prevent further spread of the highly contagious Ebola virus.
Read more »
Largest-ever trial of second experimental Ebola vaccine launched in CongoMore than 1,800 people have already died in the latest outbreak.
Read more »
Glencore to halt production at world’s largest cobalt mine: reportGlencore reportedly said they will shut the Congo mine as it is no longer economically viable
Read more »
Largest-ever trial of second experimental Ebola vaccine launched in CongoMore than 1,800 people have already died in the latest outbreak.
Read more »
As U.S. and China lock horns in worsening trade battle, Canadian business investment feels the falloutThe escalation in trade tensions between the world two biggest superpowers is far from good news for Canada
Read more »
Rwanda, Congo restrict unnecessary border travel amid EbolaRwanda and Congo are discouraging travel across their border, as officials try to prevent further spread of the highly contagious Ebola virus.
Read more »