Democratic Republic of Congo Looks for Alternative Buyers for Eastern Gold
Congo’s Eastern Gold Trade Faces Changes as Government Takes Over Primera Gold
By SHEKWOPEYELO
The Democratic Republic of Congo is actively searching for new buyers for gold from its eastern territories following the government’s acquisition of Primera Gold. This change comes after UAE-based Primera Group sold its stake in Primera Gold, a company that previously held exclusive rights to trade gold mined in eastern Congo.
Joseph Kazibaziba, the director-general of Primera Gold, revealed that the government is now open to engaging with new buyers, including those in Europe. “We are very open to new buyers and are interested in expanding our market beyond the current arrangements,” Kazibaziba stated. The shift follows criticism of the exclusivity of the previous contract with Primera.
The 2022 deal between Congo and Primera Gold was intended to reform the artisanal mining sector and curb smuggling, which has resulted in significant tax revenue losses and funded armed groups in the region. Under the agreement, Primera Gold had exclusive rights to export artisanally mined gold at a preferential rate.
However, the contract has faced scrutiny from transparency watchdogs, such as ‘Le Congo n’est pas a vendre,’ which has called for an investigation into the sudden departure of Primera Group. The group’s corporate license in the UAE expired in March, adding to the uncertainties surrounding the contract.
Recent challenges for Primera Gold include illicit gold smuggling operations to neighboring countries, which has affected their gold purchases and exports. According to a UN Security Council Report, Primera Gold’s monthly gold exports fell dramatically from 500 kilograms to 164 kilograms between May 2023 and March 2024.
