DRC: KCC and Mutanda must dismiss 1,540 subcontractors deemed ineligible

The regulatory authority for subcontracting in the private sector in the DRC has ordered Kamoto Copper Company and Mutanda Mining, two subsidiaries of Glencore, to terminate ongoing contracts with 1,540 suppliers and service providers that it considers ineligible under Congolese law.

At KCC, the ARSP reviewed a list of 1,427 suppliers and service providers. It deemed 472 eligible and 955 ineligible. At Mutanda Mining, 548 of the 1,133 listed suppliers are registered as eligible, while 585 do not meet the required conditions.

The decision prohibits both companies from entering into new contracts with the affected businesses until their status is regularized. KCC and Mutanda must also remove them from their subcontractor files.

The two subsidiaries have 30 days from the notification of the decision to submit a corrective plan to the ARSP. This document must identify the targeted companies, specify the reasons for contract termination, and detail the measures intended to facilitate access to markets for eligible subcontractors.

This measure follows inspections conducted at the two mining companies in Lualaba. According to information released regarding the decision, the inspections focused on contracts awarded between 2020 and 2025 to companies whose eligibility is disputed by the regulator.

The ARSP plans a follow-up inspection to verify the implementation of the corrective plan. The regulator notes that failure to comply with its decision may expose KCC and Mutanda Mining to sanctions under the legislation governing subcontracting in the private sector.