Bloomberg News reports that Glencore is in talks with Kamoto Copper Co to sell its stake.

Bloomberg News reported that Glencore, a miner and trader, has been in discussions about selling its controlling stake in an entity that runs a large copper and cobalt operation in the Democratic Republic of Congo.

The news comes just a month after Glencore - the second largest cobalt mining company in the world - said that a large portion of its cobalt production would likely remain unsold at the end of this year because of DRC's suspension on cobalt exports.

The report quoted people with knowledge of the matter as saying that Glencore had informally expressed its willingness to sell Kamoto Copper Co. (KCC) stakes. Potential bidders included investment firm Orion Resource Partners, and miner Rio Tinto.

Bloomberg reported that the U.S. International Development Finance Corp. could be involved in this KCC deal via a partnership with New York's Orion Resource Partners.

Glencore and Orion Resources refused to comment. Rio Tinto, the DFC and other companies did not respond immediately to requests for comment.

KCC produces cobalt and copper hydroxide at its Kamoto underground and two open-pit mining sites, KOV, Mashamba East and KOV.

Glencore owns 75% of KCC while Congo's Gecamines, the state-owned miner, holds the remaining 25%.

More than 70% of the world's cobalt is produced in Congo, but most of it is by artisanal miner who are unregulated.

Sources told the Friday report that the Mines Ministry was reportedly considering extending the ban by two months beyond the September 21 deadline. (Reporting and editing by Tasim Zaid and Leroy Leo in Bengaluru.

(source: Reuters)