DRC cobalt export conditions tighten with new quota and royalty rules

Core Points - The Democratic Republic of Congo (DRC) has introduced new cobalt export conditions under a quota system to enhance control over cobalt, a critical battery mineral [1][2] - The DRC aims to increase state revenues and regulatory oversight by implementing a 10% royalty payment in advance and requiring compliance certificates from miners [2][3] - Export quotas have been set at 18,125 tonnes for Q4 2025 and 96,600 tonnes annually from 2026 [4] Export Procedures - New export procedures include mandatory quota verification, joint sampling, weighing, sealing of export lots, and issuance of a quota verification certificate by ARECOMS [3][4] - Exporters must pre-pay a 10% mining royalty within 48 hours of filing origin and sales declarations and secure a "liberatory receipt" before customs clearance [4][5] - All mineral shipments will undergo physical inspection and monitoring by multiple agencies [4] Industry Impact - Major producers like China's CMOC and Glencore have received the largest allocations under the new quota system [5] - The DRC's shifting export rules create uncertainty, with last-minute royalty demands and complex paperwork potentially leading to volatility in exports and prices [6] - The DRC has also launched traceable artisanal cobalt and partnered with Mercuria to market cobalt, copper, and other critical minerals [6]