Talks to implement Congo mining code set for Wednesday -govt

KINSHASA, March 21 (Reuters) - Democratic Republic of Congosaid it was convening government experts on Wednesday ahead oftalks set to begin on Friday with mining companies aboutimplementing a new mining code that hikes taxes and royalties.

President Joseph Kabila signed the new code, which replacesa predecessor from 2002, earlier this month despite strongobjections from industry, which said it would scare offinvestment and violate existing agreements.

In a meeting before he signed the code, Kabila assured thecompanies their concerns would be discussed in the follow-uptalks.

Mines Minister Martin Kabwelulu told reporters on Wednesdaythat the talks with major companies present in Congo, includingGlencore, Randgold, China Molybdenumand Ivanhoe, would begin on Friday.

The miners say they expect the negotiations to focus onrecognition of 10-year protections against changes to the fiscaland customs regime they enjoyed under the previous code but thatwere annulled by the new law.

However, officials in Congo, which is Africa's top copperproducer and mines more than half the world's cobalt, have saidthat no compromises reached in the talks can contradictprovisions in the code.

In a statement after a cabinet meeting on Tuesday, thegovernment said it was "determined to defend national interests"in the talks.(Reporting By Amedee Mwarabu; Writing by Aaron RossEditing by Gareth Jones)

Glencore

Glencore