Core Points - The Democratic Republic of Congo (DRC) will replace its cobalt export ban with an annual quota system starting from October 16, 2025 [1] - The DRC accounted for approximately 70% of global cobalt production last year, and the export ban was initially imposed in February 2023 due to falling cobalt prices [1][2] - The new quota system will allow miners to export up to 18,125 tonnes of cobalt for the remainder of 2025, followed by annual quotas of 96,600 tonnes for both 2026 and 2027 [1] Industry Impact - The shift to a quota system aims to address rising conflicts in eastern Congo, where illegal mining is linked to violence involving M23 rebels [3] - The quota system is intended to manage inventories and stabilize cobalt prices, receiving support from Glencore but facing opposition from CMOC [3] - Traders emphasize the need for stable prices before lifting the export ban, highlighting the necessity for cobalt-producing countries like the DRC and Indonesia to manage oversupply [4] Regulatory Framework - The DRC's mining regulator will allocate 10% of future export volumes for national strategic projects, with quotas adjustable based on market conditions and local refining capabilities [5] - The regulator has the authority to repurchase cobalt stocks that exceed the quarterly quotas assigned to individual companies [5] Company Developments - Glencore is reportedly in discussions to sell a majority stake in the Kamoto Copper Company (KCC), which operates a significant copper and cobalt project in the DRC [6] - KCC has faced operational challenges and a royalty-related dispute with the Congolese Government amid declining cobalt prices [6]