My HKTD is telling me ‘in good faith’ relationships are very important in the Congo alongside contracts. Cong MaoHuai succeeds because likely he is not as greedy as sole versions of corporate capitalism in the West, where your labor is measured and paid and there is no other necessitated relationship legally or tacitly assumed as with feudalism. Of course, mining companies succeed best when they behave like a councilor pastoralist from the church by taking on the rehabilitation of any fundamental community issues. In that sense, mining companies whilst potential disruptive if not destructive can also be positively utopian in a dynamic sense, (not the static sense of a near-perfect Shangri-la).
Those dynamics are quite mundane but fundamental to re-enchanting the spirit of the place, such as Manono: road works, basic medical assistance such as vaccinations, a policy of fairness in not being discriminatory in labor matters especially with artisanal workers displaced are all and much more vital efforts in improving the basics of life were a dollar x a billion have to be augured out of the earth. Where a company fails to think beyond modern corporate capitalist model and is ‘mean’ transactionally, they are likely to fail and this has been an impression about western operators, not all I should emphasize. It’s also, inescapably, by default, a political exercise, as everyone is watching and talking about you as villages do. All this slips through to the ‘head honchos’ and last but certainly not least, the lords of all, Kabila clan and Co.
It’s a fact that they are native to the region to some extent and are politically active (former mayor of manono and now governor of Tanganyika, Zoe Kabila; J.K.Kabila, former president and now a senator for life, Guy Loando a senator and former board member of AVZ, and, Serge Ngandu a likely Golden boot with getting things done or stopped with Congolesi). AVZ has powerful allies. And I think this is what my HKTD is telling me when he says not to worry about trolls like TTX etcetera as their attempts to frustrate AVZ’s progress seem to be if not has been to date impotent—Africa Intel besides some spurious trolls here and there would happily tell us otherwise. And by extension to date, IMO, CATL has failed to grasp the measure, of what it takes to grab manono for itself. This is highly speculative I agree, but it is occasionally heard that Ningde Era often fail to get what they need. Look at NAL...IPO gymnastics? CATL will keep trying no doubt but at some point, their poker game will have to show the right cards before someone else outmaneuvers them
It’s worth bearing in mind here, it is strongly rumored Mr Xi Jinping while likely a nice smooth statesman/bureaucrat also faces immense pressure internally within dynastic cum Party factions—China faces some weakness at a time it has put on a strong face with a likely strong backbone. I mean, for instance, all the aggressive/defensive measures beyond ‘soft power diplomacy’ and as seen globally since Comrade Xi’s time screen an internal struggle and resistance and, the USA particularly has detected this and is playing havoc by trying to disrupt markets and China’s juggernaut of continual growth and ever closer shouldering technologically with the West.
So at this time, it is also no surprise to see statesmanship uptick in the Congo. A new President. No US ambassador like Nikki Haley barking about human rights etc. Congo is on track balancing much better it’s political and diplomatic relationships, even if some of it is eye candy. Eye candy can work with millions of desperate people looking for peace and some prosperity.
In any case, what I want to say is, what plays out on the geopolitical stage globally affects AVZ. And to that extent bear in mind AVZ’s powerful allies and partners: they have western interests as well. So Congo is not exactly China’s ground. And China likely, actually likes some competition to make their muscles and minds keen. So while we all know China is where most of the conversion of lithium concentrate happens, there are few western majors there and close to AVZ’s powerful allies. Question: why wouldn’t the Congolese supporting AVZ’s tenure at Manono, tap their western friends on the shoulder and ask if they’re interested?
Don’t be surprised that China has competition for Manono, already. My HKTD smiles hard, in some ways Congo is harder than in the West to get things going but with the right friends/allies it can be a laser printer compared to old typeset lithography where you have to fight various overlapping interests and tape.
These project %s transacted also likely encompass project responsibilities fiscally reduced. By giving these interest to AVZ, they do so to aid major project financing. It was likely always the way forward for AVZ but controlled by JV partners having the equity. Nothing moves without their blessing too. Serge must be very busy.
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