TDB closes landmark USD600 million syndicated mining transaction with Trafigura to boost the supply of metals essential to the energy transition
Summary
These resources are among the key components of renewable energy infrastructure and technology such as wind turbines and electric vehicle batteries, enabling the sustainable generation, transmission, and storage of clean energy.Africa and the Democratic Republic of Congo in particular are endowed with some of the largest reserves of minerals required to catalyse the global energy transition towards a net-zero world. An important component of this agreement involves the enhancement of ESG compliance and responsible sourcing awareness and implementation, in line with IFC Performance Standards and OECD Guidelines.While catering to the growing global demand for cobalt and copper, the Facility will contribute substantial economic value and social impact for the country, with thousands of jobs created and sustained, and several service contracts for DRC-based companies.The Facility will enable the completion of the new mechanised Mutoshi mine and processing plant in Kolwezi, and the expansion of the Etoile mine and processing plant in Lubumbashi. We are delighted to expand our collaboration with this impactful facility in the DRC, which will not only make its mark in terms of job creation and economic development for the country, but also boost our efforts towards climate change imperatives, by contributing to an increase in supply of metals which are essential to the energy transition.Socrates Economou, Head of Nickel and Cobalt Trading for Trafigura, said: Were delighted that TDB and an initial syndicate of banks have chosen to join the facility. For example, the Bank has been contributing to poverty alleviation and multiple sustainable development goals (SDGs) by financing local financial institutions with micro, small and medium enterprises (MSMEs) as their client-base. Through our Oil & Petroleum Products, Metals & Minerals, and Power & Renewables divisions, we deploy infrastructure, skills and a global network to move commodities from where they are plentiful to where they are needed most, forming strong relationships that make supply chains more efficient, secure and sustainable.Trafigura also owns and operates a number of industrial assets including multi-metals producer Nyrstar and fuel storage and distribution company Puma Energy; and joint ventures Impala Terminals, a port and logistics provider, and Nala Renewables, a power and renewable energy investment and development platform.