Conflict of interest in Congo. China, the US, and Australia want these deposits

The dispute over one of the largest lithium deposits in the world in the Democratic Republic of Congo is escalating. A Chinese company wants to take over part of the area, to which Australia claims rights. The United States has also entered the game, supporting the Congo in the matter of lithium extraction - reports Bloomberg.

"The long-standing dispute over one of the world's largest lithium deposits took a new turn when Chinese company Zijin Mining Group Co. announced it wants to develop a part of the area," as read on Bloomberg's agency.

It's about lithium deposits in the city of Manono, where Zijin is to cooperate with the state-owned company Cominiere and explore a new area where a mining permit was issued. In this situation, the Australian company AVZ Minerals Ltd., which claims that the area covered by the new permit belongs to it, expressed its opposition.

According to the official AVZ Minerals website, there are lithium pegmatites in Manono that are over 8 miles long.

Lithium is referred to as "white gold". It's an essential raw material for the production of batteries for electric cars. This is why the Congo wants to take advantage of lithium and cobalt resources for the development of electric cars. Bloomberg emphasizes that the USA supports this African country's plan, as in this way the control of Beijing over the lithium market can be partially limited.

AVZ company responded to Bloomberg that arbitration is underway in this case at the International Chamber of Commerce in Paris. Meanwhile, on October 19th, the Chinese project Zijin-Cominiere, Manono Lithium SAS, appeared on the list of projects that received mining permits.

What is the dispute about? The Chinese believe that they can operate in the northeastern part of the territory that previously belonged to AVZ. In the view of the Australians, they are the ones who have control over the entire area.