Australian company AVZ Minerals reports that an International Chamber of Commerce (ICC) tribunal has issued a partial award ordering the Democratic Republic of Congo’s (DRC) state-owned Cominière to pay €39.1m ($42.4m) plus interest for failing to comply with emergency orders.
This ruling follows a dispute between AVZ International (AVZI) and Cominière over breaches of the Dathcom joint venture agreement (JVA) related to the Manono lithium project, one of the largest hard rock lithium deposits globally.
AVZ originally held the permit to develop the Manono project. The DRC Ministry of Mines signed the ministerial decree awarding the mining licence for AVZ Minerals’ Manono lithium project in May 2022.
However, the DRC Mines Ministry revoked the permit in 2023, citing delays in project development. The rights were later awarded to a subsidiary of China’s Zijin Mining, leading AVZ to seek relief through the ICC, reported Reuters.
The tribunal confirmed that Cominière violated prior injunctions by extending mining title PR 13359 under its own name, splitting PR 13359 and assigning PR 15775 to Manono Lithium, a joint venture with China’s Zijin Mining Group.
Cominière’s attempt to overturn the emergency orders was rejected, and the tribunal reaffirmed the injunctions issued in May and November 2023. The tribunal also reserved its decision on any additional penalties if Cominière continues to breach these orders.
In a separate legal case (ICC 27769/SP), Cominière and Jin Cheng Mining Company, a subsidiary of Zijin Mining Group, filed a complaint against AVZI, claiming breaches of the Dathcom JVA.
The ICC Tribunal has issued a partial award, rejecting AVZI’s objection to Dathomir Mining Resources SARLU (Dathomir) joining the case as a party. Dathomir is now officially part of the proceedings.
Addressing media speculation, AVZ confirmed that its representatives visited the US to explore potential funding for the Manono lithium project. Although AVZ met with interested parties, no formal investment proposals have been received and discussions remain preliminary.
AVZ assured shareholders it will provide updates as required.
