Gerald Group Regains Control of Soremi After Prolonged China National Gold Dispute

Mining and Strategic Resources Assessment

Executive Assessment

Gerald Group, a US-based metals trading and mining group, has regained control of the Soremi copper and zinc operation in M’Fouati, in the Republic of Congo, following a prolonged ownership dispute with China National Gold Group (CNG). The development reflects the enforcement of corporate and arbitration-related decisions rather than a direct transfer of the asset from China to the United States.

The immediate issue is now operational: restoring stable production, securing financing for mine development, and extending the life of the underlying deposits. The ownership settlement may improve managerial clarity, but it does not by itself resolve the site’s production, reserve-quality, infrastructure and market risks.

Ownership Dispute Resolved in Gerald Group’s Favour

Gerald Group was involved in the Soremi project during its early development. In 2013, it agreed to transfer a majority interest in the company’s holding structure to China National Gold. CNG subsequently assumed operational control and reported substantial investment in the mine and related infrastructure.

In 2020, Gerald exercised a contractual right to repurchase the shares previously transferred to CNG. The parties subsequently entered into arbitration and litigation proceedings in Hong Kong and the British Virgin Islands.

The dispute reached a decisive stage in July 2025, when a British Virgin Islands court ordered the amendment of the shareholder register to recognise Gerald Group as the owner of Soremi Investments, the entity controlling Soremi. Reporting indicates that the decision restored Gerald Group’s full control of the holding structure.

The legal outcome provides a clearer ownership framework. However, the long-term durability of the settlement will depend on the completion of all relevant corporate, regulatory and operational steps in the Republic of Congo.

Soremi: A Material Polymetallic Asset

Soremi operates in the M’Fouati area of Bouenza Department and produces copper cathodes and zinc ingots. Industrial production began in 2017. The operation is an important component of the Republic of Congo’s limited non-oil mining sector, although it should not be assessed as equivalent in scale to major copper operations in the Democratic Republic of Congo or Zambia.

Reported 2024 output reached approximately 8,235 tonnes of copper cathodes and 15,084 tonnes of zinc ingots. During the first nine months of 2025, production reportedly declined to approximately 4,134 tonnes of copper and 8,753 tonnes of zinc.

The production decline highlights the mine’s central challenge: Soremi must stabilise its existing processing capacity while improving access to higher-quality ore and advancing exploration. Previous work at Boko-Songho, as well as potential lead-processing activities, could support an extension of the project’s operating life if commercially viable reserves are confirmed.

Operational and Commercial Risks

The return of a single controlling shareholder may enable faster decision-making and renewed investment. However, several risks remain:

• Resource risk: progressive depletion and declining ore grades could limit output unless new reserves are proven and developed;
• Operational risk: production recovery will depend on equipment reliability, processing performance, energy availability and access to mining inputs;
• Legal and regulatory risk: the transfer of control must remain aligned with Congolese mining, corporate and fiscal requirements;
• Market risk: copper and zinc revenues remain exposed to global price volatility and transport costs;
• Social and security risk: local employment expectations, community relations and site security will remain important to operational continuity.

Strategic Implications

The change in control takes place amid intensifying competition between Chinese, US and other international investors for African critical-mineral assets. Copper is central to electrical infrastructure, energy-transition technologies and industrial manufacturing. Zinc remains important for galvanised steel, construction and infrastructure supply chains.

For Brazzaville, the key objective is not the nationality of the shareholder alone, but whether renewed ownership stability produces sustained output, employment, export earnings and investment in exploration. The Congolese state has historically held an interest in Soremi; its current position and the detailed terms of the ownership structure should be confirmed through official corporate and mining-sector disclosures.

Outlook

Gerald Group’s recovery of control over Soremi removes a major source of uncertainty surrounding the asset. The next six to twelve months will determine whether this legal resolution translates into a credible operational recovery.

African Security Analysis (ASA) assesses that Soremi has regained a clearer governance structure, but its medium-term value will depend on three factors: the successful restart and stabilisation of production, the confirmation of additional economically recoverable reserves, and the maintenance of predictable relations with Congolese authorities and local stakeholders.