(Ecofin Agency) - The loan will finance the third phase of the copper complex's expansion. This phase should increase the facility’s production capacity to over 600,000 tonnes annually.

In a statement dated 26 June 2024, the Africa Finance Corporation (AFC) said it extended a $150 million loan to mining company Kamoa Copper. The funds will help expand the firm’s Kamoa-Kakula cruciferous complex in the Democratic Republic of Congo (DRC).

The AFC provided the loan in line with its ambition to contribute to Africa’s mining development and its prosperity.

Kamoa Copper, which operates the complex, is a joint venture between Canadian mining company Ivanhoe Mines (39.6%), Chinese company Zijin Mining Group (39.6%), Hong Kong-based private company Crystal River Global Limited (0.8%) and the Congolese government (20%).

Kamoa-Kakula is the largest copper mine in Africa. Located at the western end of Central Africa's prolific copper belt, the mine went into production in July 2021. It is in its third expansion phase. The latter aims to increase the mine’s production capacity by 33%, to over 600,000 tonnes annually.

This phase also includes building Africa's largest copper smelter, with a capacity of 500,000 tonnes per year of 99% pure copper anodes, and producing 178 megawatts (MW) of electricity, by repairing the fifth turbine of the Inga II hydroelectric dam.

The third phase is scheduled for completion this year. Upon completion, Kamoa-Kakula will become the world’s third-largest copper mine.

"This is a key milestone in our mission to develop infrastructure ecosystems that help integrate economies and drive economic transformation in Africa,” said Samaila Zubairu, President and CEO of AFC. “Copper is one of the critical minerals for the global energy transition and this mine expansion will not only solidify Africa’s position in the global copper market but contribute to the continent’s path to net zero while creating employment opportunities and generating significant revenue for the DRC."

According to the AFC, Kamoa-Kakula contributed 4% of the DRC's gross domestic product (GDP) in 2023.