The Democratic Republic of Congo (DRC), an African country, finds itself at the heart of a paradoxical situation which raises questions about the management of its gold.
Indeed, an analysis of data from the Technical Coordination and Mining Planning Unit (CTCPM) relayed by our colleagues from the ecofin agency reveals that around 80% of Congolese gold is sold below international market prices. This is a situation that has persisted since 2023.
At the center of this problem is the Kibali mine, 90% owned by the Barrick Gold and AngloGold Ashanti consortium.
In the first quarter of 2024, Kibali gold traded at $46,214.8 per kilogram, significantly lower than that achieved by DRC Gold Trading (formerly Primera Gold), which achieved sales at $64,502 per kilogram. kilogram.
Even more surprising, even artisanal miners in the Ituri and North Kivu regions manage to negotiate better prices, reaching $59,500 per kilogram for unrefined gold.
This price disparity raises questions about the mechanisms for valuing Congolese gold.
Several technical factors can partially explain these differences, including walleye refining costs, logistical costs and transport conditions from isolated sites.
However, these justifications are not sufficient to explain the magnitude of the differences observed.
The impact of this undervaluation on public finances is considerable.
Although Kibali represents 88.2% of gold exports declared in the first quarter of 2024, royalties paid to the DRC only increased by 9% between 2023 and 2024, while the world price of gold increased by 37 % over the same period.
This situation is all the more serious since the companies concerned, listed on the main world stock exchanges, theoretically have the resources and expertise necessary to optimize their sales prices.
The opacity surrounding Kibali’s gold marketing processes contrasts with the transparency efforts required of the Congolese extractive sector.
Neither Barrick Gold nor AngloGold Ashanti provide detailed explanations of their sales strategies, leaving doubt over the potential existence of preferential agreements or particular pricing mechanisms.
