Mercuria Enters the Congolese Cobalt Market with Purchase from EGC

Mercuria, a commodities trading company, has recently revealed an unprecedented business deal: the direct purchase of cobalt from Entreprise Générale du Cobalt (EGC), the state mining corporation of the Democratic Republic of the Congo. This move marks the first time both companies have established such a large-scale commercial relationship, positioning Mercuria as a strategic player in the critical metals supply chain.

A Strategic Raw Materials Partnership

According to the financial agency Jin10, the acquired cathode copper will be distributed to key markets in the United States, the United Arab Emirates, and Saudi Arabia. This commercial geography reflects Mercuria’s strategy to strengthen its presence in economies with high mineral demand. At the same time, the cobalt purchase addresses a deeper need: ensuring secure access to a resource that is increasingly contested in international markets.

The Importance of Cobalt in Key Industries

Cobalt has become an essential component for multiple industrial sectors, from consumer electronics to battery technology for electric vehicles and renewable energy storage. The global transition toward decarbonization has driven up demand for this metal, putting pressure on available supply. Mercuria recognizes this trend and aims to secure stable volumes for its global clients, avoiding disruptions in the cobalt supply chain.

Congo’s Role in the Global Supply Chain

The Democratic Republic of the Congo holds a dominant position in global cobalt production, controlling approximately 70% of the world’s reserves. This dependence prompts international producers like Mercuria to seek direct relationships with Congolese actors such as EGC. The purchase of cobalt from the state entity not only diversifies Mercuria’s supplier portfolio but also underscores Congo’s central role in any modern critical metals supply security strategy.

This operation reflects how global energy transition pressures are redefining commercial alliances in the mining sector, with cobalt as a key piece in the geopolitical puzzle of raw materials.