Death of Kabila Mine Adviser May Cause Congo Power Struggle
By Michael J. Kavanagh - Feb 13, 2012 7:46 PM GMT+0300 .LinkedIn
Google +1 Print QUEUEQ..The death of Democratic Republic of Congo
President Joseph Kabila’s senior business adviser may trigger a power
struggle in one of Africa’s biggest mineral- producing countries, said
analysts including Thomas Wilson at London-based consulting firm
africapractice.

Augustin Katumba Mwanke, the former governor of copper-rich Katanga
province, was among five people who died yesterday when a Gulfstream
IV jet crashed after overshooting the runway at an airport outside the
eastern city of Bukavu. Congolese Finance Minister Matata Ponyo and at
least three other government officials were injured in the incident.

“The death of Augustin Katumba Mwanke will have serious repercussions
for the Kabila regime and in particular for the mining sector,”
Wilson, senior consultant at africapractice, said by e-mail today.
“His removal from the political scene will encourage a power struggle
among politicians keen to fill the void.”

Congo holds about 4 percent of the world’s copper reserves and about
half its cobalt, a mineral used in rechargeable batteries, according
to the U.S. Geological Survey. The Central African nation is the
continent’s top tin producer, has deposits of gold and diamonds, and
is exploring for oil.

‘Power Behind Throne’
Foreign diplomats and businessmen regarded Katumba Mwanke as “the
power behind the throne,” according to a December 2009 secret
diplomatic cable published by Wikileaks, the anti-secrecy website. He
was instrumental in negotiating a $6 billion
minerals-for-infrastructure contract with China and was a confidant of
Israeli investor Dan Gertler, who works with companies including
Glencore International Plc (GLEN) and Eurasian Natural Resources Corp.
in the country, according to the cable.

“Most big businesses needed to work through Katumba and he was also a
guarantor of their deals,” Georges Kyriakos, president of
Mauritius-based MagEnergy International, which is seeking to develop
two hydropower projects in Congo, said today in an interview in
Johannesburg. “Without him there there will be a great deal of
uncertainty about who will ensure that agreements remain intact.”

Those seeking to take Katumba Mwanke’s place in Kabila’s inner circle
may include Evariste Boshab, the head of Congo’s National Assembly,
Interior Minister Adolphe Lumanu and Pierre Lumbi, the national
security adviser, Jason Stearns, former head of the United Nations
group of experts on Congo, wrote yesterday on his blog, Congo Siasa.

Intellect And Network
“No one had the combination of intellect, business know- how and
expansive networks that Katumba did, especially in the business
sector,” Stearns said“To that extent, no one can easily fill his
shoes.”

Katumba Mwanke worked as an “ambassador” for Congo and his death left
“a great void” for Kabila’s family, Lumanu told reporters yesterday in
Kinshasa, the capital. He didn’t comment further. Boshab wouldn’t
comment on the issue to reporters at a briefing held at his house
yesterday in Kinshasa. Lumbi’s phone didn’t connect when Bloomberg
called him seeking comment today.

Re-elected to Congo’s National Assembly in the country’s Nov. 28
elections, Katumba Mwanke was a former representative of the
government on the board of directors of Anvil Mining Ltd. (AVM), the
Australian mining company that produces copper in Congo. The former
banker kept a low public profile and worked for Kabila behind the
scenes, Wilson said.

The Gatekeeper
“Katumba acted as the gatekeeper to Katanga’s lucrative copper assets
for much of the past decade and developed close relationships with
many of the country’s largest investors,” he said.

Congo is one the most difficult places in the world to do business,
according to the World Bank, which placed Congo 178th out of 183
countries in its Doing Business survey last year. The government is
also in transition while it waits for the Supreme Court to certify
parliamentary election results.

Parties allied with Kabila won more than 260 out of 500 seats,
according to provisional results from the electoral commission. They
are expected to form a new government after the Supreme Court
announcement, which is scheduled for March 16.

The elections, which also saw Kabila re-elected in November, were
criticized by international and domestic electoral observers including
Congo’s Catholic Church.

A 2002 UN report on illegal resource exploitation during Congo’s wars,
which stretched from the mid-1990s until 2003, recommended Katumba
Mwanke be sanctioned.

To contact the reporter on this story: Michael J. Kavanagh in Kinshasa
at [email protected]

To contact the editor responsible for this story: Antony Sguazzin at
[email protected]

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