Switzerland’s mining and commodities giant Glencore Plc (GLEN.L) is considering selling a majority stake in the Kamoto Copper Company (KCC) in the Democratic Republic of Congo, one of its largest African mining ventures, amid continued uncertainty over suspended cobalt exports. Bloomberg reported.
The potential divestment highlights a possible shift in Glencore’s long-term strategy in the DRC, a nation central to global copper and cobalt supply chains.
The discussions come only weeks after Glencore, the world’s second-largest cobalt producer, warned that a significant portion of its output may go unsold this year.
The company pointed to falling prices, an oversupplied market, and the DRC government’s suspension of cobalt exports in February, which followed cobalt’s steep drop to a nine-year low.
Kinshasa is now weighing an extension of the export ban beyond its September 21 deadline, a move that could further strain supply chains and deepen the challenges for producers.
Bloomberg noted that potential buyers for Glencore’s 75% stake in KCC include U.S. investment firm Orion Resource Partners and mining heavyweight Rio Tinto (RIO.L; RIO.AX).
The U.S. International Development Finance Corp. (DFC) may also play a role through a partnership with Orion.
Although the parties either declined to comment or did not immediately respond to inquiries, analysts said signs of direct U.S. government involvement could increase the chances of a deal.
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KCC is jointly owned by Glencore, which holds 75%, and Congo’s state-owned Gécamines, which holds 25%.
The operation includes two open-pit mines, KOV and Mashamba East, along with the Kamoto underground mine.
Collectively, these assets produce copper cathode and cobalt hydroxide, both of which are critical for renewable energy technologies and the fast-growing electric vehicle battery industry.
The DRC supplies more than 70% of the world’s cobalt, with a large share mined under unregulated artisanal conditions that often lack proper oversight and expose workers to unsafe conditions.
Cobalt’s sharp price decline earlier this year underscored the volatility of the market and the risks facing companies heavily tied to Congolese output.
Any Glencore exit would carry significant geopolitical implications. Chinese companies already dominate much of Congo’s cobalt sector, securing supplies to fuel Beijing’s battery manufacturing growth.
A deal involving Orion or Rio Tinto could represent a rare opportunity for Western investors to reassert influence in Africa’s critical minerals and challenge China’s dominance.
Analysts suggest such a shift could reshape how Africa’s mineral wealth is managed, potentially introducing new financing approaches and stronger governance, though it may also intensify competition over control of the continent’s resources.
Glencore continues to face mounting pressure to reevaluate its Congolese operations, where price swings, operational hurdles, and royalty disputes with the government have weighed heavily.
Whether through a full exit or a restructured stake, the company’s decision is expected to have far-reaching consequences, not only for the global cobalt market but also for Africa’s place in the evolving energy transition supply chain.
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Image Credit: The Coal Trader
