The Democratic Republic of Congo’s state cobalt agency has achieved a significant milestone, producing its first 1,000 metric tonnes of traceable artisanal cobalt. This development is crucial, as cobalt is a vital component in rechargeable lithium-ion batteries used in electric vehicles, smartphones, and laptops, playing a central role in the global transition to green energy.

The DRC is the world’s largest source of cobalt, holding approximately 72% of global reserves and accounting for over 74% of supply. However, the sector is largely dominated by informal artisanal mines, which employ an estimated 1.5 million people and operate with minimal regulation. This has led to widespread concerns over unethical practices, including human rights abuses and environmental degradation.

The International Energy Agency forecasts a 40% increase in global cobalt demand by 2030, driven by the growing demand for electric vehicles and renewable energy technologies. In response, car manufacturers and electronics firms are increasingly requiring proof of ethical sourcing, putting pressure on producers to eliminate child labor and unsafe practices.

The production of traceable artisanal cobalt by the DRC’s Entreprise Générale du Cobalt agency is a key step towards addressing these concerns. By formalizing the sector, the agency aims to clean up the supply chain and align production with international environmental, social, and governance standards. This move is expected to have a significant impact on the global cobalt market, as it will provide a more transparent and responsible source of this critical mineral.

The DRC’s efforts to formalize its artisanal mining sector are also seen as a positive step towards improving the lives of millions of people employed in the industry. By providing a more regulated and transparent environment, the government hopes to reduce the risks associated with artisanal mining and promote more sustainable and responsible practices.

As the demand for cobalt continues to grow, the importance of responsible and ethical sourcing will become increasingly important. The DRC’s production of traceable artisanal cobalt is a significant step in this direction, and it is likely to have a positive impact on the global efforts to promote sustainable and responsible mining practices. With the global cobalt market expected to continue growing, the DRC’s move towards formalizing its artisanal mining sector is a critical step towards ensuring a more sustainable and responsible future for this critical industry.