Racist Talk Must EndKnock it off. Just because some people are angry, doesn't mean you can fly off the handle. Below is the latest from Reuters. Gecamines, the Congo state miner, says they want to renegotiate contracts. They are willing to go to arbitration. If so, they will lose. These guys have a proven track record of incompetence and corruption. If they try to nationalize mines, production will fall off a cliff. No one will lend them money, since there is no guarantee banks would ever get any of it back. Their infrastruction is in poor condition. The means of transport is not even there. The arbitration panel in Paris can legally enforce judgments by seizing assets in foreign bank accounts and shipping. One way or another, they are going to pay. Hugo Chavez started off with something good, and turned it into garbage. Kabila is starting with garbage, and it's all downhill from here.
As as long as the miners act together, the Congo government will come under extreme pressure. They are already dealing with a determined opposition, backed by the Catholic Church, the main religion of Congo, Now Kabila wants to make enemies of the mining industry as well. This won't end well for him. My only question is where do the Chinese state miners stand in all of this? That is the only possible card Kabila has to play. Without their support, he will have no allies. RF says the mining industry is prepared to take joint action. The latest news can be found here:
https://www.reuters.com/article/africa-mining-congo/update-1-congos-gecamines-wants-to-revise-contracts-with-mining-partners-idUSL8N1PV51Q