The Democratic Republic of Congo (DRC) is once again facing arbitration proceedings from Australian mining company AVZ Minerals, after talks broke down over the Manono lithium project. AVZ had temporarily suspended its legal claim in May 2025 at the request of the U.S. government, but resumed the case on June 18 before the International Centre for Settlement of Investment Disputes (ICSID).
The dispute centers on the revocation of AVZ’s permit in 2023 by Congo’s Ministry of Mines, which cited project delays. The rights were reassigned to a subsidiary of China’s Zijin Mining, triggering legal action by AVZ. The revived case could complicate a separate deal between AVZ and U.S.-backed KoBold Metals.
KoBold, supported by Breakthrough Energy Ventures, announced a framework agreement in May to acquire AVZ’s stake in the southern section of Manono. The deal, potentially worth over $1 billion, targets one of the world’s largest hard-rock lithium deposits, estimated at 842 million tonnes at 1.61% grade. KoBold plans to export lithium to Western markets using AI-powered mineral exploration. But AVZ’s return to arbitration may now stall implementation of the agreement.
Source: dabafinance.com