Mining in the DRC

$24 Trillion in Untapped Mineral Wealth

According to a February 2009 report in African Business magazine, the value of the mineral reserves buried under the soil of the DR Congo exceeds US$24 trillion dollars. This sum is greater than the combined GDP of both the United States and the 27 European Union (EU) countries.

Recent Developments in the DRC Mining Sector

The Congolese Government is taking considerable steps to both attract and work with foreign investors by promising fair and transparent treatment to private business.

In 2002, the DRC signed up to the Extractive Industries Transparency Initiative, which requires all revenues and payments by mining companies to be made public, assuaging at least some of the concerns about state corruption.

Other recent legislation since the democratic elections in 2006 includes a new investment code, a new mining code and a new commercial court. The World Bank is also supporting efforts to restructure the DRC's large parastatal sector and neglected infrastructure including the Inga Dam hydroelectric system.

The country has recently completed a long-awaited review of 61 mining concessions, many of which had been negotiated in the highly unstable period 1996-2006 (none of these concessions affected Kilo).

These developments are credited with attracting billions in capital investment over the last 4 years and raise the prospect of mineral profits that will ultimately affect the lives of all DRC citizens.

The Right Time for Gold Exploration and Development

The Democratic Republic of Congo (DRC) holds the promise of becoming one of Africa's most significant gold producers. With a history of oppressive colonial rule, brutal dictatorship, and violent civil unrest for much of the last decade, there are signs that political stability is slowly starting to emerge.

In addition to helping realize potential for shareholders, Kilo is firmly committed to helping the local Congolese people in the communities it is working in and with. Kilo is already helping contribute to the short-term stability of the region through job creation, training activities and philanthropic sustainable development initiatives through the KGL Community Foundation. Kilo will continue to maintain a healthy balance between achieving success for shareholders while playing an active part in contributing to long-lasting peace and prosperity in a developing nation blessed with abundant mineral wealth.