Eurasian Resources Group (ERG) has declared force majeure on cobalt shipments from its Metalkol operation in the Democratic Republic of Congo due to the country’s temporary export ban, sources familiar with the matter said.
ERG, the world’s third-largest cobalt producer, was forced to invoke force majeure because it lacks cobalt stocks outside Congo, unlike other suppliers, one source confirmed. The Luxembourg-based company has not yet responded to requests for comment.
Congo, the world’s leading cobalt producer, imposed a four-month export suspension last month to curb oversupply and stabilize prices, which had plummeted to a nine-year low of $10 per metric ton. The government is also considering introducing cobalt export quotas.
Metalkol, which processes tailings, produced approximately 19,200 metric tons of cobalt in hydroxide last year—around 9% of Congo’s total output, according to Darton Commodities. The operation contributes 7% of global cobalt production, which exceeded 280,000 metric tons in 2024.
It remains unclear when ERG formally declared force majeure, but cobalt prices in China, the world’s top consumer, have surged over 20% since the export ban, reaching 200,000 yuan per metric ton, according to Shanghai Metals Markets (SMM).
Congo’s regulatory body, the Authority for the Regulation and Control of Strategic Mineral Substances’ Markets (ARECOMS), will review the export ban in three months. The government is expected to introduce negotiated export quotas during the suspension period.
China’s CMOC Group remains the largest cobalt producer in the DRC, extracting 114,165 metric tons in 2024—more than double its 2023 output. Glencore, the second-largest producer, reported an 8% decline in production to 38,200 metric tons last year. ERG, CMOC, and Glencore together dominate the global cobalt market.
