Winmar Resources Ltd (ASX:WFE) has appointed international consultancy group Kumi Consulting Ltd to develop and implement a responsible and ethical cobalt mining and production strategy for its proposed DRC’s operations.
The strategy will be aligned with the IFC Performance Standards and the OECD Guidance for Responsible Mineral Supply Chains.
“Proven track record”
Winmar chairman Jason Brewer said, “Kumi is, without doubt, a global leader and has a proven track record in working successfully in the DRC.
“We believe that Kumi is expertly placed to work with us in developing and implementing a responsible and ethical cobalt mining and production strategy, which will be critical to our long-term success in the country.”
Winmar aims to become 50% owner of the Luapula Processing Facility and the manager and operator of a new cobalt production joint venture.
This is also proposed to include several nearby mining and exploration licences.
These plans, along with the start of work by Kumi, will be implemented upon Winmar’s successful completion of re-compliance under ASX Listing Rules Chapters 1 and 2 and the resumption of trading of the company’s shares on the ASX.
The appointment of Kumi is considered a key step forward in ensuring Winmar's cobalt production practices are aligned with the relevant international standards.
It is also expected to provide confidence to all its stakeholders and shareholders, offtakers and financiers, that cobalt has been responsibly and ethically sourced and produced.
Brewer said: “I have met the management of Kumi and am very impressed with their capabilities and overall approach and ongoing work in the DRC.
“Major step forward”
“For Winmar it will be a major step forward to have our planned operating practices in the DRC aligned with IFC Performance Standards and the OECD Guidance for Responsible Mineral Supply Chains.
“I am personally very pleased that the company has now committed to working with Kumi in seeking to have our planned cobalt production practices aligned with some of the highest of international standards.
“By having their input and expertise from the outset it will ensure that the Luapula Processing Facility’s practices, processes and activities are in line with the highest of standards and what is ultimately expected by all our stakeholders.”
The licences and Luapula Processing Facility are in the DRC Copperbelt.
Kumi is a UK-based management consultancy group that specialises in helping companies develop and implement responsible sourcing and operating practices for minerals and other raw materials.
Founded in 2015, Kumi is working on responsible mineral sourcing at mine sites in central Africa, at smelters and refiners across the world, at global downstream companies, and with many industry-led conflict minerals programs.
Its current cobalt work enables it to bring insights from across the full supply chain as it works with DRC-based miners, international traders, major refiners and global automotive manufacturers.
Kumi is also working with non-governmental organisations to support the legalisation and HSE performance improvement of artisanal miners.
In the DRC, Kumi is retained by one of the world’s largest commodity traders to develop and implement a responsible sourcing program for the company’s minerals supply chains.