DRC to face revaluation of 60 mining contracts

After 60 mining contracts of the Democratic Republic of Congo (DRC) were recommended to be reevaluated by the government, BHP Billiton and De Beers are considering revaluating their contracts with DRC in mid-July. Reuters reports that a team of senior ministers would carry out the renegotiations.

Such a review also too place very recently last year, when the DRC government felt the need to review 61 such contracts, entered into between state mining companies and foreign firms during a 1998-2003 war and the subsequent three-year transition period. The purpose of reviewing at that time was to bring the deals closer to serving the national interest.

The government authorities have been taking steps to strengthen its mining resources. In March 2008, the mines review panel released a report to develop the country’s minerals sector, which also called for renegotiation several major mining contracts.