General Manager (MMG Congo)

The Katanga Province is performing a conducive role on the Democratic Republic of Congo’s economic development. . How do you think this should be managed in order to sustain growth?

Katanga Province has vast mineral wealth, which is generating royalties and taxes to benefit the state and fuelling economic growth in the region and across the country.

To continue to benefit from the employment and social development opportunities that come from mining investment, we need a business environment and regulatory framework that is conducive for business.

It’s also important that a substantial proportion of the royalties and taxes generated by mining are invested directly back into Katanga Province as infrastructure, schools and medical care. This foundation is how we will create more and better job opportunities in the future, and necessary to sustain long-term growth.

Talking about Katanga is to talk about mines because it is its main source of wealth, however, to really exploit its potential, it is essential to invest. What are Katanga’s main assets, that make it an attractive destination for foreign investors in the mining sector?

Katanga is fortunate to be located in one of the world’s most mineral rich regions. It also has a large population wanting to work in and benefit from the mining industry. Under the right regulatory framework, there is tremendous opportunity to use these assets to build small business and manufacturing sectors here that service the mining sector and support the growth of other industries, such as agriculture.

MMG is a global leader on the mining sector with operations in South America, Africa, Australia and Laos. Which would you say is the strategic advantage for the company of being present in the Democratic Republic of Congo?

MMG’s purchase of Kinsevere created a platform to expand its operations and interests within the African Copperbelt.

The company started operating in Katanga in 2012 with the acquisition of Anvil Mining Limited. How has been the evolution of MMG during these two years? What have been the main challenges you’ve had to face?

Our first priority was to ramp up to Kinsevere’s nameplate capacity of 60,000 tonnes of copper cathode.

To achieve this, we had to overcome challenges relating to the availability and reliability of grid-sourced energy and increase mining and milling rates. A major milestone for us was exceeding nameplate capacity at Kinsevere in 2013 – less than two years after MMG had acquired Kinsevere.

Another milestone occurred in 2013, when we gained access to an additional eight tenements near Kinsevere. This has allowed us to commence an aggressive exploration campaign in 2014.   

In 2013, MMG granted the 70% stake it had in the Mutoshi Project to GECAMINES.  What is the impact of this transaction on the company’s growth strategy?

MMG entered into a swap agreement with Gecamines, divesting our interest in the Mutoshi Project to Gecamines in return for exploration and mining rights over eight tenements near Kinsevere.

We are now undertaking a significant program of exploration activities on targets within these and other tenements.  The ultimate aim of our DRC exploration program is to identify copper deposits that can be processed economically at Kinsevere.

The swap directly supports a key pillar of MMG’s growth strategy, which involves maximizing the value of existing operations through extension or expansion.

One of the main challenges in the mining sector is to operate on an effective but also environmentally sustainable way. How do manage within your operations to achieve this balance?

MMG is one of 22 members of the International Council of Mining and Metals (ICMM). We comply with all aspects of ICMM’s Sustainable Development Framework, which includes a commitment to environmental management in accordance with best-practice standards.

Planning ahead allows us to minimise our environmental impact. This is complemented by regular air, water and soil sampling, protection of native habitats and waste reduction activities.

In terms of CSR, what has been your contribution for the Katanga Province?

MMG partners with local villages, government authorities and other organisations to build strong communities that benefit from, but are not reliant on mining.

At present, our key focus areas are agricultural development, health and education and infrastructure and business development. In recent years, MMG funded upgrades to water supply facilities, roads and bridges, built administrative buildings and a medical clinic, subsidized teachers’ salaries and provided a meal-a-day to students at local schools.

Importantly, we also work with farmers from nearby villages to increase crop yields.  Our Farmers Assistance Program includes providing key inputs, such as fertilizer and seeds, in an arrangement similar to micro-finance, training sessions and support for the implementation of mechanization.

More broadly, we are helping to develop the next generation of mining talent – through on-the-job training and a bursary program for University of Lubumbashi students.

As mentioned before, MMG in one of the leading mining companies in the DRC. Where are you currently focusing your efforts in order to maintain this positioning? What are your current projects?

MMG is currently undertaking an expansive exploration program in and around Kinsevere as well as a number of tenements in near proximity to the mine. This includes the eight tenements that MMG was able to gain access to in 2013. 

Our work to identify potential copper deposits within the Africa Copperbelt extends to Zambia, where we also have an active exploration program.

We believe that every company needs to have a clear set of goals, but it is the vision of its leaders what can make it reach these objectives. As the General Manager of MMG Congo, where do you see the company in the next five years?

I hope that MMG would have expanded its operations within the Congo, particularly within the Africa Copperbelt. There is tremendous potential here and believe that MMG, with its record of operational excellence and social and environmental responsibility, is the right partner for communities, government and local business.

To conclude the interview, our readers are interested in the company or the institution, but also in the leader we interview. In this context, what message would you like to send to the readers of eBiz Guides to invite them to come to Katanga and chose MMG to do business with?

Katanga has great mineral wealth, and with the right regulatory and business framework, there is great potential for future prosperity in the region.