Bezos-Backed KoBold in Dispute Over Major African Lithium Mine
Udumbara
A Perth-based miner that holds a majority stake in a disputed lithium project in the Democratic Republic of Congo (DRC) has claimed that a deal between the Congolese government and U.S. company KoBold Metals breaches an existing international arbitration order.
The Roche Dure lithium deposit is the core part of the Manono lithium and tin project, and is considered one of the largest lithium deposits in the world, with an estimated volume of 400 million tonnes of lithium oxide.
The Complex Dispute Over Mining Rights
In May 2022, AVZ Minerals acquired a mining permit for the Manono project through a joint venture between its subsidiary company, Dathcom Mining, and Cominière, granting the miner a 75 percent stake in the project.The claim was rejected by AVZ Minerals, which later took legal action to challenge the sale of the joint venture stake.
The dispute escalated in early 2023 when the DRC Mines Ministry revoked AVZ’s permit and granted rights to a joint venture between Zijin and Cominière, citing a lack of progress in the project.
In response, AVZ applied for arbitration proceedings at the International Chamber of Commerce (ICC) and sought emergency orders to prevent Cominière from transferring the mining permits and terminating the original joint venture agreement.
The ICC International Court of Arbitration later issued orders that restrained Cominière from cancelling the joint venture agreement. However, the company disregarded the orders and proceeded with its plan.
In March 2025, the ICC International Court of Arbitration ruled that Cominière must pay AVZ 39.1 million euros plus interest for breaching the joint venture agreement.
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Separately, AVZ initiated an arbitration process against the DRC government at the International Centre for Settlement of Investment Disputes (ICSID) in late 2023 over the revocation of the mining permit at the Manono project.
In May 2025, AVZ agreed to suspend its ICSID arbitration process to facilitate settlement with the DRC government.
However, the company resumed the arbitration process in late June, citing a lack of meaningful engagement by the DRC government.
The Involvement of KoBold Metals
KoBold Metals got involved in the Manono project after reaching an agreement with AVZ in May 2025 to establish a framework for the former to acquire AVZ’s interests in the Manono lithium deposit.The agreement was said to enable KoBold Metals to invest more than US$1 billion to bring Manono lithium to Western markets.
It comes amid a broader shift by the U.S. government to develop access to critical minerals free from Chinese control.
AVZ’s Response to Deal Between DRC and KoBold
In a statement (pdf) published on July 21, AVZ said it was aware of the agreement between the DRC Government and KoBold Metals.However, the miner noted that the agreement was a breach of a previous ICSID order that required the DRC to re-establish the Dathcom joint venture as the holder of the mining permit for the Manono project.
“On 18 July 2025, [AVZ] informed the ICSID Tribunal of the DRC government-Kobold agreement, which is a breach of [the] PO3 [order],” the statement read.
“Whilst AVZ was not involved in the drafting nor is a party to the DRC government-Kobold agreement, it remains open to constructive dialogue with the parties, to agree a suitable commercial outcome for AVZ shareholders, where its legal rights and existing commercial relationships are respected.
“The company confirms that discussions continue with various parties, including Kobold, who wish to advance the development of the Manono Project to better balance global lithium supply chains, benefiting all stakeholders, not least the people of the DRC.”
The Epoch Times has reached out to KoBold Metals for comment.
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