COMINIERE/MMCS trial, no money for the stay of Congolese lawyers at the judgment at the International Court of Arbitration in Paris
January 13, 2023
Kiki Kienge
By
Kiki Kienge
If the judicial show in Paris in France, the story of the play takes place in Manono in the province of Tanganyika in the Democratic Republic of Congo and script as motif, the Manono lithium project.
Normally the hearing set for Monday, should take place in March 2020, in Paris of course. The cause of the postponement was the Covid-19 pandemic that triggered the closure of borders.
This is a dispute between COMINIERE (La Congolaise d'Exploitation Minière SPRL (which was once ZAIRE ETAIN), a public company of the Congolese State, against MMCS STRATEGIC1, a company registered in Mauritius, of which some Congolese dignitaries of the old regime, but still influential in the new regime, are suspected of owning shares.
Genesis of the case
In February 2016 with the ministerial decree signed on September 28, 2016, the Minister of Mines Martin Kabwelulu Labilo had canceled the research permit of the Mauritian company MMCS STRATEGIC 1, to grant the 12202 permit to DATHOMIR (company belonging to a Chinese citizen reacting in the name of Simon Cong, very close to the former regime of Joseph Kabila and in particular owner of the Kempinski Congo River Hotel) and this on the same perimeter of the permit of MMCS1.
The reason given by the Congolese State was the lack of results and the absence of a credible feasibility study on the part of MMCS1.
In reality, the Mauritian company did not have enough capital for the realization of the project, but wanted with the permit granted by the Congolese State, to go and collect funds in stock exchanges abroad.
Thus, on September 23, 2016, Dathomir and Cominière signed a "Preliminary Agreement" which will lead to the creation on October 17, 2016 of a Joint Venture (DATHCOM, Manono lithium project) where Cominière owned 70% and Dathomir 30% of the shares.
As a reminder the Australian company, AVZ Minerals is not yet part of the adventure in the project, Manono lithium. The Australians of AVZ Minerals will not come until 217, buying 60% of DATHOMIR's shares of Chinese Simon Cong in DATHCOM.
So the composition of the shares in DATHCOM was: AVZ Minerals with 60%, COMINIERE 30%, Dathomir with 10%.
With the DATHCOM research permit, the Australians of AVZ Minerals carried out the feasibility studies that MMCS1 and DATHOMIR were unable to do not have due to lack of financial means, to obtain the blocked exploitation permit, the reasons for which only God knows by the CAMI (Mining Cadastre).
MMCS v. COMINIERE dispute
But since 2016, the Mauritian company had filed a complaint against COMMINIERE, therefore the Congolese State
"for having terminated its contract illegally".
MMCS' defense: "
The delay in the execution of the works is due to the insecurity in Tanganyika especially in Manono, especially following the lack of electrical energy in the province. "
This is disputed by Congolese experts who claim that the feasibility study should precede the energy stage.
COMINIERE chooses as defender the law firm Emery Mukendi WA Nfwana & Associés, unfortunately Emery Mukendi died in 2020 and his firm was liquidated.
COMINIERE without lawyers for its defense, "fortunately" for her the March 2020 hearing in Paris was postponed because of the Covid-19 pandemic.
DR Congo risks billions $US
COMINIERE (So the Congolese State) a few days before the plenary in Paris this Monday, January 16, 2023, would be unable for lack of means to take charge of the stay in Paris of lawyers for the defense of COMINIERE.
Without defenders or experts, in front of the tough lawyers and the financial means deployed by the Mauritian company MMCS, the Congolese State through COMINIERE, risks a conviction by default and forced to pay millions $US to MMCS and that it enters the DATHCOM joint venture of the Manono lithium project.
