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Cape Town – A powerful moment unfolded at the Investing in African Mining Indaba this week, as a mining company publicly committed to enhancing its local procurement efforts in the Democratic Republic of Congo (DRC) in response to a direct challenge from a local activist.
The commitment came during a panel discussion titled “Disruption Required – time for a new deal for local communities,” which explored the often-disappointing reality for communities living near mines. Despite the promise of development and jobs, these communities frequently experience negative impacts, including environmental degradation, displacement, and limited economic benefits.
“It’s a grave issue,” acknowledged David Sturmes-Verbeek, Co-Founder and Director of Partnerships & Innovation at the Impact Facility. “In many ways, the system has failed.”
Emmanuel Umpula Nkumba, Executive Director of African Natural Resources Watch, highlighted the significant gap between promised benefits and actual outcomes for local communities. He pointed out that while mining laws in the DRC are robust, effective implementation remains a major challenge due to issues of state capacity and potential conflicts of interest.
Daniella Savic, Head of International ESG Compliance at Eurasian Resources Group (ERG), acknowledged these concerns while outlining her company’s commitment to community engagement. ERG, with operations in 12 countries and a workforce of 69,000 employees, prioritizes multi-stakeholder approaches, including close collaboration with NGOs and ensuring workers’ rights.
However, Nkumba pressed further, questioning the quality of jobs created for local communities. He raised concerns about the limited employment opportunities for Congolese nationals and the potential for exploitation.
Savic responded by emphasizing ERG’s commitment to social responsibility. “In 2023, ERG distributed $7.3 billion in value, compared to $6.8 billion of revenue generated,” she stated. “And 97% of our workforce are nationals of the country we operate in.”
The discussion then shifted to the critical issue of local procurement. Nkumba challenged ERG to enhance its sourcing of goods and services from local businesses within the DRC.
In a significant moment, Savic publicly committed to increasing local procurement. “I am proud to say that ERG commits to enhancing our local procurement strategy,” she declared, acknowledging the need for continued collaboration with civil society organizations to ensure meaningful community ownership.
This public commitment, made at the prestigious Mining Indaba, signals a potential shift in the industry’s approach to community engagement. It highlights the growing importance of dialogue and collaboration between mining companies, local communities, and civil society organizations to ensure that the benefits of mining are equitably shared.
Investing in African Mining Indaba 2025 runs until February 6 at CTICC 1 and 2.
