TGS 0.00% 4.9¢ tiger resources limited

Equipment pertaining MCSC, sub-contractor of copper producers...

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    Equipment pertaining MCSC, sub-contractor of copper producers Tiger Resources and MMG, was reportedly seized following accusations it dodged taxes.
    Measures taken by Congo-K's authorities to improve respect of the country's mining legislation might have ricocheted out to two copper producers operating in Katanga: Australian firm Tiger Resources, which holds the Kipoi mine, and MMG, which operates the Kinsevere mine.

    In late May, mining equipment belonging to Mining Contracting Services Congo (MCSC), which operates part of the mines on behalf of the juniors, has reportedly been seized by local police. In 2016, some 23,119 t of copper cathodes was produced at Kipoi and 80,650 t at Kinservere. These measures, authorized by the Lubumbashi public prosecutor, follow on from a government inquiry into the possibility that MCSC dodged taxes to the tune of $2 million. MCSC is accused of not paying import duties on equipment. While the mining code provides for a two-year exemption on custom duties, MCSC is reported to have extended this period. Crippled by a lack of funds, Congo-K is exploring all avenues to recover any amount of tax revenue. There are reports of customs officers being sacked and other mines being in Kinshasa's firing line.

    When contacted by Africa Mining Intelligence, MMG and Tiger denied that the seizure of mining contractor equipment had had any impact on its operations. MCSC did not reply.
 
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