CMOC’s IXM declares force majeure on cobalt deliveries from Congo

[Ben Graham]

IXM, a metals trading unit of CMOC Group (SHA: 603993), has declared force majeure on its cobalt supply contracts due to an ongoing export ban in the Democratic Republic of Congo (DRC).

The ban, initially set for four months, has now been extended until September, halting cobalt shipments from key suppliers.

Export ban extended

The DRC government extended its cobalt export ban by another three months on June 21, citing a need to address market oversupply and stabilize prices.

The measure, enforced by the Authority for the Regulation and Control of Strategic Mineral Substances’ Markets (ARECOMS), began on February 22, 2025. It has disrupted shipments from major producers like Tenke Fungurume Mining and CMOC Kisanfu Mining, forcing IXM to suspend contract deliveries.

The DRC accounts for over 80% of global cobalt output.

The export halt could remove more than 100,000 tonnes of cobalt from the market over a seven-month period, fueling supply concerns.

Glencore (LON: GLEN), the world’s second-largest cobalt producer, also declared force majeure following the initial suspension. Meanwhile, Cobalt Holdings shelved a planned $230 million IPO in London, which aimed to fund discounted cobalt purchases from Glencore.