China Molybdenum facing financial losses at Tenke mine in DRC

The Tenke Fungurume copper-cobalt mine in the Democratic Republic of Congo (DRC) has seemingly become a financial headache for Chinese miner China Molybdenum, which holds an 80% stake in the mine.

China Molybdenum said that the mine was now in a “deficit zone” because falling metal prices, higher taxes and royalties and rising production costs were “squeezing the business profitability” of miners in the DRC, according to media reports, quoting a letter to employees. The Chinese firm has not yet released its financial statement for the first half of 2019 but its statement for the first quarter showed the company recorded a 79.2% year-on-year decline in net profit attributable...

Published

Sally Zhang

August 23, 2019

07:35 GMT

Shanghai