Congo Cobalt 10% tax???, page-2

It's not a tax (on profits), it's a royalty which is far more punitive. It's effectively 10% on revenue. All signs are pointing to cobalt being designated a "strategic" commodity. This does not include the DRC's new 50% "super profit" tax on mines with commodities more than 25% above their PFS studies (read: all cobalt in the DRC).

Perhaps just as importantly, it reminds companies and investors of one of the risks of dealing with unpredictable governments, as it also ignores the supposed legislation that was meant to protect companies (and incentivise investment) from any sudden tax changes for a period of 10 years.

All of this is will lead to upwards pressure on the cobalt price and will be negative for new CAPEX investment in the Congo.