Business Enquirer Issue 126 | Kamoa Copper | June 2024

EXPANSION

TO SEE DRC COPPER COMPLEX BECOME THIRD LARGEST IN THE WORLD

EXPANSION TO SEE DRC COPPER COMPLEX BECOME THIRD LARGEST IN THE WORLD

By land area, the Democratic Republic of Congo (DRC) is the second-largest country in Africa, and the 11th largest in the world. Across this landmass is a copperbelt of around 70 kilometres wide and 250 kilometres long.

There are 72 economic deposits of copper/cobalt and four large mining centres. Taken together, the DRC and Zambia copper belts are the second largest global reserve of copper, about one-third the size of the Chilean reserve.

Producing around 63% of the world’s cobalt, the second biggest copper producer after Chile, the DRC copper belt includes some of the highest-grade copper deposits in the world.

Starting production in 2021, the Kamoa Kukula Copper Complex (Kamoa Copper) based in the DRC, produced 393,551 tonnes of copper concentrate in 2023.

Kamoa Copper’s 2023 production achievement represents a year-over-

year increase of 18%. The 2024 annual production guidance for Kamoa-Kakula is estimated at between 440,000 to 490,000 tonnes of copper in concentrate, following the anticipated completion of the Phase 3 concentrator during the third quarter of 2024.

The phased expansion is projected to make Kamoa-Kakula the third-largest copper complex globally.

Phase 3 will increase Kamoa Copper’s annual copper production to a ten-year average of 650,000 tonnes of copper. The expansion includes the commissioning of a 500,000-tonneper-annum on-site, direct-to-blister copper smelter and refurbishment of Turbine #5 at the Inga II hydroelectric facility.

ARTICLE WRITTEN BY: LAURA WATLING

KAMOA COPPER

The mine’s 2023 preliminary economic assessment projects a nine-year mine life extension of the Kamoa-Kakula Copper Complex, in addition to the Kamoa-Kakula 2023 pre-feasibility study of 33 years. This case includes the addition of four new underground mines in the Kamoa area (called Kamoa 3, 4, 5 and 6) to maintain the overall production rate of up to 19.2 Mtpa.

Mining with a Greater Purpose

Kamoa Copper’s vision is to build a sustainable legacy in the DRC through environmentally and socially responsible copper mining.

“Sustainability is at the heart of everything we do,” shared Chairman, Ben Munanga. Sustainability is also inextricably linked to Kamoa Copper’s company values:

sustainable growth; united in diversity; and to thrive.

“Kamoa Copper acknowledges that our impact on the United Nations Sustainable Development Goals (SDGs) could shape our long-term strategy, enhance dialogue with our stakeholders, and support our licence to operate,” said Ben.

Its environmental governance priorities are driven by its objectives of contributing to the achievements of the following UN SDGs: Clean Water and Sanitation; Responsible Consumption and Production; Life on Land; Climate Action.

For waste management, Kamoa Copper employs tailings management which involves the storage and management of the finely-ground rock, fine mineral particles and water separated from ore

Established in 2019, Degrita Holding is on a mission to become the leading provider of the highest quality engineering solutions in Democratic Republic of the Congo (DRC).

Partnering with the likes of GE Grid Solutions, AEC Energy solutions, DesSoft - Design Software, Siemens, Schneider Electric, and Watericon LTD, in the last five years the engineering services business has completed 502 successful projects.

Included in these projects is its work for Kamoa Copper, in which it has provided a variety of valuable services including supply and installation of lightning system protection, earthing of electrical circuits, maintenance service of generators, and oil purification of HV transformers.

In addition, it has provided a variety of sustainable solutions to Kamoa Copper, including supply and installation of solar electric power systems, commissioning of chlorine dioxide drinking water disinfection, maintenance of sewage treatment systems, and analysis of dissolved gas of transformers.

Full Spectrum Service Provider

Amongst its capabilities, Degrita Holding’s skilled and experienced team can provide maintenance of industrial equipment, installation of CCTV cameras, supply chain management, and consultancy services.

Considered an industrial engineering partner, its partnerships are often aimed at improving operational efficiency, innovating product or process design, and staying competitive in the marketplace.

Setting itself apart from competitors, Degrita Holding ensures that it is always up to date with the latest technological advances in engineering, helping to improve its efficiency, quality, and competitiveness.

In addition, it emphasises customer service, ensuring to always listen to its customers’ specific needs and tailoring its solutions accordingly. A valuable service, Degrita Holding implements robust project management processes to ensure on-time, on-budget delivery.

“We understand that a customer-centric approach can foster loyalty and referrals,” the business said.

Underpinning its projects is Degrita Holding’s strong, values-based culture which “focuses less on what we do, and more on how we do it”.

Shared Success

The business’ culture strives for “Shared Success”. This is achieved by developing high performing teams that are aligned to Degrita Holding’s vision and values.

“Shared success is dependent upon strong professional relationships and having genuine conversations,” said the business, “We know that if we succeed, then all our valued clients, partners, and shareholders also succeed. This integrated approach begins with our people and the belief that together we can develop trusting relationships with all stakeholders to achieve long-term mutual goals”.

Degrita Holding’s has made significant investment into employee safety to achieve its goal of reducing lost time to injuries, which has been achieved successfully and consistently.

In addition, the business has been awarded ISO 9001 Quality Management Systems, ISO 45001 HSE Management Systems, ISO 31000 Risk Management, and ISO 14001 Environmental Management. Further highlighting its commitment to its team, Degrita Holding’s is committed to the ongoing professional development of its colleagues.

“Engineering is constantly evolving, and well-trained teams are essential to remain competitive, so we’re always committed to providing development,” it said.

In turn, its customers are always receiving the most up-to-date engineering solutions.

Charles D. Kabulo, Degrita Holdings CEO

minerals during the milling process.

“Kamoa Copper has taken a very low risk approach to how we manage our tailings and aim to meet or exceed global good practice for safe tailings management,” said Ben.

Kamoa Copper plans to minimise the surface storage and management of tailings from its mining operations by storing it underground in the mined-out workings.

“The mine has a relatively small environment-footprint because approximately half of the tailings will be mixed with cement and pumped back underground to fill voids and help support the underground mining infrastructure,” Ben added.

Further to the mine’s tailings management, Kamoa Copper understands that limiting the environmental impact and the carbon footprint of its mining operations is key to mitigating the effects of climate change.

To support the continued successful performance of its mining complex, Kamoa Copper has signed a publicpartnership with DRC’s state-owned power company La Société Nationale d’Electricité to secure clean, renewable hydro-generated electricity.

“Securing sustainable, long-term electricity is essential in the development of Kamoa Copper into one of the world’s largest copper mines,” said Ben.

In addition, Kamoa Copper has pledged to incorporate state-of-the-art equipment powered by electric batteries or hydrogen fuel cells into its mining fleet, replacing diesel-powered equipment.

Commitment to Education

Ensuring Kamoa Copper’s commitment to build a sustainable legacy in the DRC, it also employs a range of social initiatives to help develop the communities in which it operates.

One such initiative is contributing to successful food-production activities in nearby communities by uplifting smallscale farmers and enabling them to increase their production capacity.

“This is laying the foundation for increased

KAMOA COPPER MINING

commercial farming and setting an example for future generations,” shared Ben.

The initiatives include maize production, fruit and vegetable production, fish farming, poultry farming and honey production.

In addition, the business has launched an agronomy school to offer training and research facilities to local farmers. Plans are also underway for a collaboration between the agronomy school and the University of Kolwezi, which will provide further practical training for the students.

“The long-term vision is to continue to expand all of these projects and to diversify into other business opportunities, such as agro-processing,” said Ben

Excellence in Human Resource Management, Serving Since 2014.

MD Services is a 100% Congolese Company specialized in staff recruitment and the management of Human Resources which, over the year, has built a flawless reputation throughout the entire DRC and has become the leading company of several operating companies in DRC, particularly, in the mining sector, cement, oil, and exploration.

MD SERVICES SARL

MD SERVICES Sarl, is a 100% Congolese Company, registered under the laws of The Democratic Republic of The Congo and operating in the Labour broking of Local and Expatriate Staff outsourcing as well other associated services.

MD SERVICES Sarl is therefore specialized in:

• Recruitment, placement and management of outsourced staff local and expatriate;

• Immigration outsourcing and other relevant documents for expats;

• Supply of Personal Protective Equipment “PPE”

• Any other services relating to personnel management.

MD SERVICES Sarl has established itself as a major player, for many companies operating in The Democratic Republic of The Congo especially in the mining, cement and hydrocarbon sectors (upstream and downstream). With its range of clients, the company has developed a real relationship and lasting trust. By way of illustration, MD SERVICES Sarl successfully supports major mining projects in The DRC, carried out by the large worldrenowned firms such as the KIBALI GOLD MINE Project, one of the branch of the multinational BARRICK GOLD as well as the TENKE FUNGURUME MINING project (TFM), the IVANHOE MINES project (Kamoa Project), and so on.

MD SERVICES Sarl also continue to assist big companies like BOART LONGYEAR, OREZONE DRILLING and many others in their drilling work at all stages of mining projects as well as in other services related to mining activities.

For this year, MD SERVICES Sarl has set the following main objectives:

• attract and support the maximum possible number of investors in The DRC in general and in particular, those working inthe mining sector, the reason for its participation in multiple international conferences;

• expand its activities in other countries of the continent such as UGANDA, SOUTH AFRICA, MAURITIUS and the big island of MADAGASCAR to get open up to the world.

It is for such a reason that MD SERVICES Sarl, on the side-lines of the “Prospectors and Developers Association of Canada, PDAC”, an international mining conference that brings together all the major economic operators and decision-makers in this sector, has organized in 2020 at The Intercontinental Hotel and in 2023 at Fairmont Royal York in Toronto, business meetings which gathered several mining operators of the world not only in a purpose to connect them to different business opportunities in The DRC, but to reassure them also about a better support in Human Resources Management.

For the first time in this context and the proudness of the Democratic Republic of The Congo, Mr. Didi MUDOGO, a Congolese operator and the Managing Director of the MD SERVICES Sarl, has taken the initiative to raise the country’s Flag very high. Through this occasion a business lunch was organized and shared in order to discuss the available opportunities offered by The DRC, a country with a highly mining vocation. During that lunch meeting, several DRC officials and experts spoke on thesubject, as well as BARRICK CEO, Dr. Mark BRISTOW, who emphasized the importance for multinationals to work with local entrepreneurs not only for their emergence, but also because no project can establish itself and prosper effectively inthe host countries without the involvement of local entrepreneurs.

The vision that MD SERVICES Sarl sets itself is to bring together as much as possible all the major investors of the world and thus attract them more to come and invest their capital in The DRC in order to create more business opportunities for local entrepreneurs, the availability of employment for the Congolese people in order to contribute to the emergence of The DRC.

MD SERVICES Sarl: “TheStaffmanagementfocusedontheResult”.

In order to fight the scourge of unemployment shared by all our companies, all experts are looking for solutions. If the magic recipe has obviously not yet been elaborated, here and there, miles away from the official cenacles, we nevertheless notice significant advance in terms of social progress through the implementation of certain organizational structures that engage in activities that can make a difference.

To change the course of things is to take a problem head-on and make effort to try to solve it. “A well-posed problem is a problem half solved,” said the mathematician Henri Poincaré. It is in this context that MD SERVICES Sarl wrought its battle by posing the equation in these terms: how to ensure that the mass of workers in the DRC accesses a stable and sustainable job? In other words: how to put in relation and in adequacy the companies and the human resources, the multiple needs of the economic world and the proper obligation to each one to improve humankind?

For this purpose, under the managerial policy of its founder, Mr. Didi MUDOGO, was born and flourishing since 2005 MD SERVICES Sarl, a company specialized in the outsourcing and management of human resources. MD SERVICES Sarl has built a solid reputation and has become the key player to a growing number of companies active in the mining, cement, construction, logistics and other sectors. Due to the high quality of its services, MD SERVICES Sarl has a proven track record in recruiting and managing local, national and expatriate staff to the satisfaction of its clients as well as its multiple employees. This allowed the company to be trusted by its rigorous and demanding clients, promoters of large-scale projects in the various sectors mentioned above.

MD SERVICES Sarl doesn’t rely on this “connection” between companies and the population. Its mission is to target the needs and specificities of a given sector, develop profiles, select skills and train staff accordingly. For this purpose, MD SERVICES Sarl wrought partnerships with world-renowned companies specialized in training and building staff capacity to act as a powerful lewis for its clients.

MD SERVICES Sarl also offers its expertise and knowledge of the business sector, which none, through its advisory and investor support activities. With representative offices in Kampala (Uganda), in Johannesburg (South Africa) and in Antananarivo (Madagascar), the company operates throughout the Democratic Republic of Congo, valuing local know-how, create and sustain employment in disadvantaged areas of the country.

MD SERVICES Sarl stands out, for all these reasons, as “the” privileged partner to investors wishing to set up business in the DRC and tomorrow in other countries of the continent. Beyond its solid expertise and its vast database, credibility as well as the reliability of its services, all this ensure the smooth running of business processes and negotiations.

As a result of the innovative nature of the strategy and the effectiveness of its approach methods, MD SERVICES Sarl was awarded as “Best Outsourcing Company and HR Manager of the Year 2015 - 2016” during the DRC Mining Week.

“The practical and customized solution for the staff management with focus on the RESULT“ remains the motto of the company.

Other than the aforementioned, MD Services is currently on a training project in favor of selected fresh graduates in the move to foster a nucleus of young talents to serve as key personnel in future at the Kamoa Smelter, deemed to be the premier & high-tech smelter in the region for world class production of precious metal. www.md-drc.com

The business also supports mining skills training, which in 2020 saw five operational crews for the Kakula Mine and two operational crews for the Kansoko Mine trained and deployed. A total of 194 trainees were equipped with skills, including tele-handler, agitator truck and utility vehicle training.

Most recently, Kamoa Copper has established the Kamoa Centre of Excellence, with the first phase of students enrolling in 2023.

The aim of the centre is to retain and develop local talent, the Centre of Excellence will offer degrees, diplomas and short courses in collaboration with internationally accredited institutions. Establishing a Long-Term Logistics Agreement

In February 2024 Kamoa Copper announced an agreement with Trafigura, one of the world’s largest commodity suppliers, to transport minerals via the Lobito Atlantic Railway for a minimum term of six years.

Lobito Atlantic Railway is a new importexport trade route between the African Copperbelt and Angola’s Atlantic coast, with this agreement marking the first long-term commercial commitment to the railway.

Speaking on the agreement, Founder and Executive Co-Chairman of Ivanhoe Mines (which indirectly holds 39.6% of shares in Kamoa Copper), said:

“The transformative economic corridor will unlock more copper projects due to

LA TREVE Group PTY LTD: A Pioneering Force in

Supply Chain Management and Civil Engineering

Founded in 2015 in South Africa, LA TREVE Group PTY LTD embarked on a mission to revolutionize the sectors of supply chain management and civil engineering. With a foundational commitment to excellence and innovation, the company has steadfastly grown, expanding its services and geographical reach, particularly focusing on meeting the rising engineering service demands in the Democratic Republic of the Congo (DRC).

Expansion into the DRC: Acknowledging the burgeoning demand for specialized engineering and supply chain management services in the DRC, LA TREVE Group strategically began collaborations with select companies within the country starting in 2017. This significant move was not merely an expansion but a testament to the company's adaptability and commitment to addressing the needs of diverse markets. In April 2020, this expansion culminated in the establishment of LA TREVE SARL, a milestone that marked the beginning of a new chapter as a 100% Congolese company, showcasing an impressive commitment to local development and expertise.

Registration and Compliance

In its dedication to legal compliance and ethical business practices, LA TREVE SARL achieved registration with the ARSP, affirming its status as a fully recognized and compliant entity within the Congolese corporate landscape. This registration is not just a legal formality but a reflection of LA TREVE's commitment to transparency, quality, and regulatory compliance, essential pillars that guide every aspect of its operations.

Services and Expertise: LA TREVE Group has carved a niche in providing top-tier services in supply chain management and civil engineering. The company employs a holistic approach, integrating innovative strategies and technologies to streamline supply chain processes and deliver cutting-edge engineering solutions. Whether it's a complex infrastructure project or optimizing logistics operations, LA TREVE is equipped with the expertise, tools, and dedication to achieve exceptional outcomes.

Commitment to Quality and Sustainability:

Understanding the importance of sustainability and quality in today’s market, LA TREVE adheres to strict standards, ensuring that all projects and operations are not only efficient but also environmentally responsible and sustainable. This approach has not only earned the company accolades but also the trust and loyalty of a growing list of esteemed clients.

Future Outlook: As LA TREVE Group continues to build on its successful legacy, the company remains focused on innovation, customer satisfaction, and strategic expansion. With a robust foundation in South Africa and a flourishing presence in the DRC, LA TREVE is poised to scale new heights in the realms of supply chain management and civil engineering.

LA TREVE Group PTY LTD represents a beacon of excellence and innovation in the industry. From its humble beginnings in South Africa to its significant expansion in the DRC, the company has demonstrated an unwavering commitment to providing top-notch services, adhering to the highest standards of ethics and quality. As it moves forward, LA TREVE continues to be driven by a vision of growth, excellence, and a dedication to serving the needs of communities and businesses alike.

Electrical, Civil and Mechanical Engineering

Complete Engineering solutions for both government and the private sector.

LA TREVE Group PTY LTD was established in South Africa in 2015 with the primary objective of providing supply chain management and civil engineering services, and has grown over time with the increasing demand for engineering services in the Democratic Republic of Congo.

A NEW ERA OF PERFORMANCE

SES’s satellite-enabled connectivity solutions are powering digital transformation in enterprises across the globe, including the Kamoa-Kakula Copper Complex project in Africa.

Our multi-orbit network enables the seamless delivery of new services and applications, improving safety, digitalising operations, and maximising profitability in mining operations.

ABOUT SES

SES has a bold vision to deliver amazing experiences everywhere on earth by distributing the highest quality video content and providing seamless data connectivity services around the world.

As a leader in global content connectivity solutions, SES owns and operates the world’s only geosynchronous orbit and medium earth orbit (GEO-MEO) constellation of satellites with the unique combination of global coverage and high performance. By leveraging its vast and intelligent, cloud-enabled network, SES delivers high-quality connectivity solutions anywhere on land, at sea or in the air, and is a trusted partner to the world’s leading telecommunications companies, mobile network operators, governments, connectivity and cloud service providers. SES’s video network enables broadcasters, video platform operators and content owners to deliver managed media services for both linear and non-linear content. Its network of over 6,400 channels reaches 363 million households worldwide. The company is headquartered in Luxembourg and listed on Paris and Luxembourg stock exchanges.

DIGITAL MINING SOLUTIONS

In the mining industry, reliable connectivity is of exceptional importance since mining sites are often in remote locations. Connectivity delivered over SES’s 70 satellites can enable mining crews in these sites to access cloud-based applications and upload critical data, improving profitability of its extraction, overall productivity, visibility and safety. The same connectivity also enables the crew to stay connected with their families who are often located thousands of miles away.

For more information, visit www.ses.com

KAMOA COPPER MINING

the lower logistical costs. Cheaper logistics increase the amount of economically recoverable copper across the Copperbelt, as cut-off grades can be lowered. This makes a significant impact on discoveries made in the DRC, such as the recent highgrade and open-ended Kitoko copper discovery in the Western Foreland, where we are stepping up exploration activities this year to find more ultra-green copper metal. Kitoko is located only 30 kilometres from the existing rail line,”.2

www.kamoacopper.com