Contemporary Amperex Technology (CATL) subsidiary Ningbo Brunp CATL New Energy will be acquiring a stake in the Kisanfu copper-cobalt mine in the Democratic Republic of Congo (DRC) for US $137.5m. In the agreement, Ningbo Brunp CATL New Energy will purchase 25% in China Molybdenum (CMOC) unit KFM Holding.
KFM Holding owns a 95% interest in the Kisanfu mine while the remaining 5% stake is held by the DRC Government. According to media reports, the deal is expected to provide CATL with access to what is claimed to be one of the world’s largest, highest-grade undeveloped cobalt and copper projects.
In order to secure supply, CATL earlier invested in lithium and nickel mining companies, the news agency reported. China Molybdenum was cited by the news agency as saying that the company, together with CATL, ‘will fund the project CAPEX in proportion to their ownership in KFM to jointly build a world-class copper and cobalt producer’.
With the partnership, Moly is expected to become ‘a long-term cobalt supplier to the world’s largest power battery manufacturer’, CMOC noted. CMOC’s and CATL’s actual interests in the Kisanfu mine will respectively be 71.25% and 23.75%. The DRC Government will continue to hold a 5% stake.
Located near CMOC’s Tenke Fungurume copper-cobalt mine, the Kisanfu mine is estimated to hold 3.1Mt of cobalt and 6.3Mt of copper. It was discovered by the exploration team of Freeport-McMoRan.
CATL chairman Zeng Yuqun said: “The lithium-ion battery industry has embraced the TWh era. Stable raw materials supply with full compliance is a critical step towards high-quality delivery. “CATL has long been committed to responsible cobalt supply chain. CMOC advocates international ESG standards and is a leader supplying raw materials for battery metals and electric vehicles.
