Chemaf is a leading mineral exploration, mining and processing company in the Democratic Republic of the Congo (DRC).

Mutoshi Pilot Project

The Chemaf Case Study

Chemaf is a leading mineral exploration, mining and processing company in the Democratic Republic of the Congo (DRC). In July 2017, while exploring a commercial partnership with the company, Trafigura initiated a review, conducted by third-party assessor Kumi Consulting, examining Chemaf’s operations against our Responsible Sourcing standards. The review examined Chemaf’s operational facilities on the outskirts of Lubumbashi, and incorporated Mutoshi, a then dormant mine in Kolwezi, that Chemaf sought to develop.

In 2018, Trafigura Group entered into a three-year marketing agreement with Chemaf and its parent company Shalina Resources Ltd for cobalt hydroxide. A component of the agreement provided for Trafigura’s ongoing support to Chemaf in building the company’s ability to manage social and environmental impacts across its operations.

In light of Chemaf’s intention to develop its Mutoshi concession, initially through the appointment of an artisanal and small-scale mining (ASM) contractor, Trafigura engaged internationally respected NGO PACT in January 2018, to support Chemaf in the ongoing maintenance of a Responsible Mineral Sourcing programme in line with Trafigura’s standards.

In response to the threat of the COVID-19 virus and with a view to safeguarding the health of workers onsite and their surrounding communities, in March 2020 operations at the Mutoshi Pilot Project were suspended. It was later determined that operations would not restart owing to changes in DRC law which saw the establishment of Entreprise Générale du Cobalt (EGC), the DRC State Owned Entity responsible for the purchasing of all ASM cobalt. Click here to learn more about Trafigura’s engagement with EGC.

Whilst noting that the Mutoshi Pilot Project is no longer in operation, the below provides a full outline of the structure of the project, as well as the many and varied benefits it delivered.

16 October 2018

Responsible Sourcing: Facing-up to the challenge of ASM (longer version)

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Responsible Sourcing: Facing-up to the challenge of ASM (longer version)

16 October 2018

 

Watch short version of Responsible Sourcing: Facing-up to the challenge of ASM in English, Chinese and French.

Monitoring & Assurance

 

Click below to hear the perspectives of those involved in the pilot project

Extraction

Les Melrose, Chemaf

Ngombe Kingudi Sylvestre Petit-Petit, COMIAKOL, General Manager

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Ngombe Kingudi Sylvestre Petit-Petit, COMIAKOL, General Manager, What processes are followed on site?

November 2018

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Ngombe Kingudi Sylvestre Petit-Petit, COMIAKOL, General Manager, How is this new method of working safer than the old?

November 2018

Daly Ilunga Mikombe, COMIAKOL, ASM worker

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Daly Ilunga Mikombe, COMIAKOL, ASM worker, What are the working conditions like on the site?

November 2018

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Daly Ilunga Mikombe, COMIAKOL, ASM worker, What is the most significant difference in the way you work?

November 2018

Julie Kasongo, COMIAKOL, Social affairs manager

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Julie Kasongo, COMIAKOL, Social affairs manager, What is your role here?

November 2018
Processing
Purchasing
Monitoring

James Nicholson, Trafigura, Head of Corporate Responsibility

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James Nicholson, Trafigura, Head of Corporate Responsibility, What does Responsible Sourcing mean for Trafigura

November 2018

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James Nicholson, Trafigura, Head of Corporate Responsibility, How does the relationship between Trafigura and Chemaf work?

November 2018

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James Nicholson, Trafigura, Head of Corporate Responsibility, How does Trafigura work with PACT?

November 2018

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James Nicholson, Trafigura, Head of Corporate Responsibility, Why is Cobalt - and the methods by which it's acquired - so important?

November 2018

Luc Lenge Asosa, PACT, Development Program Manager

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Luc Lenge Asosa, PACT, Development Program Manager, A description of the new ASM method

November 2018

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Luc Lenge Asosa, PACT, Development Program Manager, Is there a future for this method of conducting ASM?

November 2018

Karen Hayes, PACT

Assurance

Andrew Britton, Kumi Consulting

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Andrew Britton, Kumi Consulting, Is this a problem with an overnight solution?

November 2018

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Andrew Britton, Kumi Consulting, How much progress has been made at Mutoshi?

November 2018

COMIAKOL operates under the observation of Chemaf's Health, Safety and Environment (HSE) team, two full-time representatives of the NGO "PACT". as well as representatives of the DRC's State Regulator for ASM "SAEMAPE". ("Service for Assistance and Supervision of Artisanal and Small-Scale Mining"). Trafigura's Head of Corporate Responsibility also conducts regular site assessments.

Trafigura has appointed Responsible Sourcing assessors "Kumi Consulting" to review the Mutoshi Pilot Project on a formal basis against a bespoke assessment protocol. The protocol is governed by a suite of Trafigura policies and expectations relevant to the operational context.

On a day-to-day basis, ASM workers operate under the observation of the following dedicated personnel:

  • Chemaf’s Health, Safety and Environment (HSE) staff.
  • COMIAKOL’s HSE staff.
  • Two full-time PACT representatives.
  • Representatives of the DRC’s State Regulator for ASM, ‘SAEMAPE’ (Service for Assistance and Supervision of Artisanal and Small-Scale Mining).

All parties are represented on an official ASM Committee. Its proceedings are also informed by regular community engagement meetings, led by Chemaf.

Trafigura’s Head of Corporate Responsibility conducts regular site assessments which take place typically every quarter.

The role of PACT

In January 2018, Trafigura signed a new strategic relationship with internationally respected NGO, PACT. PACT has extensive experience of working with artisanal miners in challenging environments. It is a sector leader in the practical implementation of Responsible ASM Sourcing.

Trafigura has been leveraging PACT’s developmental expertise at Mutoshi. This has become a key element in a growing partnership that is now extending to other localities and relationships. The Mutoshi pilot project has yielded important results that are applicable across other business relationships.

The role of Kumi Consulting

Assessments conducted by PACT are reinforced on a quarterly basis by Trafigura’s appointment of third-party assessor Kumi Consulting whose mandate it is to scrutinise the project in depth and report back on performance to Trafigura, Chemaf and PACT, as well as selected downstream partners.

Performance of the project is assessed against the OECD Due Diligence Guidance for Responsible Mineral Supply Chains, Trafigura’s own Business Principles for Health, Safety, Environment and Community performance, and the IFC Performance Standards, amongst others.

Cobalt image

Trafigura presents its work with EGC to the 2021 Antaike Battery Metals Conference

Watch video

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Trafigura presents its work with EGC to the 2021 Antaike Battery Metals Conference

10 May 2021