Forces Armees de la RDC

The Gold Refinery in Entebbe get sanctioned by the U.S. Treasury [which is the African Gold Refinery]

“gold is gold, and they simply need gold” – Gold Smugglers (UN, 2020, P: 19).

Today on the 17^th March 2022 the U.S. Treasury has sanctioned the African Gold Refinery and Alain Goetz. This is hitting the Government of Uganda (GoU) which has been proud of this refinery. They are directly hitting the profitability and ability to trade. As the AGR will be blacklisted and possibly make it harder sell it’s gold.

In the U.S. Treasury statement today, it said this:

“Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), sanctioned Alain Goetz, the African Gold Refinery in Uganda, and a network of companies involved in the illicit movement of gold valued at hundreds of millions of dollars per year from the Democratic Republic of the Congo (DRC). The illicit movement of gold provides revenue to armed groups that threaten the peace, security, and stability of the DRC. Today’s action was taken pursuant to Executive Order (E.O.) 13413, as amended by E.O. 13671, which targets, among other things, individuals and entities involved in activities that threaten the peace, security, or stability of the DRC or that undermine democratic processes or institutions in the DRC. Our action demonstrates the U.S. commitment to disrupt the illicit mineral trade and encourage mining sector transparency” (U.S. Treasury – ‘ Treasury Sanctions Alain Goetz and a Network of Companies Involved in the Illicit Gold Trade’ 17.03.2022).

Where it further states:

“Since 2016, AGR has sourced illicit gold from mines in regions of DRC that are controlled by armed groups, including the Mai-Mai Yakutumba and Raia Mutomboki that are involved in destabilizing activities in South Kivu, DRC. AGR has a refining capacity of 219 tons per year and is considered one of the largest gold refineries in Africa, after refineries in South Africa and Ghana. AGR and Goetz acknowledged that a share of the gold AGR refines comes directly from mines in the DRC and has taken over a significant portion of the market for gold trafficked from the DRC” (U.S. Treasury – ‘ Treasury Sanctions Alain Goetz and a Network of Companies Involved in the Illicit Gold Trade’ 17.03.2022).

The U.S. Treasury isn’t taking this information from nowhere. This has been recorded and proven through United Nations Experts reports over the years. The Entebbe Gold Refinery has been tracked and so has all the illicit minerals, which has gotten to it. It has been taken from conflicts and been a valuable commodity for the militias inside the Democratic Republic of Congo, which trough various of channels has traded it with the AGR. Who again has sold it to the world market.

Back in 2020, there was further proof of how it was operated as:

““The Group established that, on 9 February 2018, African Gold Refinery Ltd sold its shares to AGR International Ltd, a company registered in the Seychelles at Global Gateway, 8 rue de la Perle, Providence, Mahe, Seychelles (see screenshot below). The Group wrote to the authorities of the Seychelles, who confirmed that AGR International Ltd was registered in the Seychelles at the address listed in the Uganda Registration Services Bureau documents” (UN, 2020, P: 107).

So, this corporation will have international implications. It will not only go after Goetz or AGR. This will go even further with time. A Belgian report on the Refinery in 2019 said this:

“Sources in government refer to a speech by the Ugandan president at the ceremonial opening of AGR in 2017. Museveni then said that government agencies opposing the refinery would be ‘tackled hard’. ‘Goetz feels unassailable. And not without reason. He clearly has the protection of President Museveni himself’, says investigative journalist Haggai Matsiko of the Ugandan monthly The Independent. ‘Goetz has put a lot of money into its project (AGR says it has already invested $40 million, ed.). The president seems convinced that the refinery adds economic value by turning Entebbe and Kampala into a gold hub.’” (Kasper Goethals – ‘‘Gold is a dirty business, even if I do say so myself’ 20.04.2019, De Standaard).

With this in mind, this is a major blow to the wishes of President Museveni. The U.S. is sanctioning it and setting a precedence of which makes transactions with it questionable. Yes, at this moment it is about trading and association with U.S. businesses and citizens. Alas, the AGR is a prestigious part of the gold adventure Museveni wanted to have.

Let us not forget the June 2017 Global Witness Report “Under-Mined” on the AGR, which stated this:

“African Gold Refinery is run by a small group of Belgian and Ugandan businessmen, including former government minister Richard Kaijuka, who are managing to ship hundreds of millions of dollars’ worth of gold out of Uganda without disclosing its origin and paying very little tax in the process. They are the owners and managers of a newly built gold refinery on the shores of Lake Edward near Entebbe airport. Remarkably, Barnabas Taremwa: brother-in-law to Salim Saleh, Museveni’s most famous brother and Uganda’s de facto number two, told Global Witness that he had helped negotiate the company’s huge tax breaks with the government (corroborated by documents seen by Global Witness) and set up supply routes for the refinery” (Global Witness, P: 27, 2017).

““Alain Goetz, who is also the CEO of the company, a Belgian national, is one of the most famous dealers of Congolese gold in recent history. During the 90s the Alain and his father Tony, who died in 2005, were reported as dominating gold exports from the Congo through their networks to Belgium and later Dubai” (…) “Mr Barnabas Taremwa, who previously worked for AGR is the brother in law of Salim Saleh, the President’s brother. AGR told Global Witness in a letter dated January 2017 that Taremwa’s sister and Salim Saleh had divorced three years ago, seemingly in an attempt to distance themselves from the General. However, Salim Saleh told Global Witness that “Barnabas Taremwa is still my brother in law and it is false and an insult to me for you to state that I divorced his sister.” (…) “Richard Henry Kaijuka is the Chairman of AGR.160 According to an article in Africa Energy in June 2011, Mr Kaijuka is “a childhood friend of President Yoweri Museveni, who fell out with the regime after he opposed a controversial constitutional amendment in 2005 that removed presidential term limits.” (Global Witness, P: 73, 2017).

So, if you know all of this. You know the AGR is hitting home. This will hit the State House and the Presidency. Not only the pride of selling illicit minerals from militias in the DRC. No, he will not earn profit on the tears and suffering of the DRC anymore. At least not at the same scale or have the possibility of trading it to the United States. This is a proof of the possible damage it can do. This is million of dollars of exports that can be hit by this sanction. Because, AGR is a tainted business…

That is the truth here and it is about time. Reports about it from it’s inception should have been the warning sign. Yes, the official date was back in 2017, but it was operating from 2014. So, there been lost years and the AGR haven’t really complied with proof of where the gold came from and therefore, this is well deserved. Finally, a place which is a hot-spot for conflict minerals get hit with sanctions. Peace.

Opinion: Okello Oryem is mocking the wrong partners with MONUSCO

“In an Interview with NTV this morning, the minister for foreign affairs in charge of international relations Okello Oryem said Uganda “does not need the help of the UN” which he says they consider as a “useless group” that has allegedly preserved terrorism in Congolese soil. “We have no good words for them, they have been there for long but what have they done? As far as we are concerned, we do not want their military assistance, even if they offer us a cup of tea, we do not need it,” said Mr Oryem” (Ritah Kemigisa – ‘Uganda doesn’t need UN’s help for DRC mission- Oryem’ 02.12.2021, KFM.co.ug).

The hubris and the arrogance is clear as the Minister Henry Okello Oryem who is is now downplaying the role of United Nations Organization Stabilization Mission in the DR Congo (MONUSCO), which is starting their gradual exit strategy from the Democratic Republic of Congo (DRC). MONUSCO is based in the provinces of Ituri, North Kivu and South Kivu, which the UN based mission is to stop the militias with disarmament and demobilization of them. In such a way, that the MONUSCO is there to be the civilians’ protection.

It is really striking that the Ugandan Minister is mocking and not wanting to work with MONUSCO now. This mission was first established in 1999 as MONUC and got a new mandate in 2010. While in 2020 the mandate changed and they are starting already to back-out. Therefore, the UN Mission is dwindling down. As well, as there are new militias and foreign interference in the region of which the Ugandan army entered yet again.

MONUSCO is partly created by the interference of Ugandan troops within the DRC. Not that the Ugandan armies was alone in these wars or always been welcomed to enter the DRC. The UPDF and Rwandan Defence Force (RDF) have both entered it. As well, as both nations have been involved in supporting militias, rebels and armed groups within the DRC. That is well-known and they re-appear at certain stages. Just like the UPDF have been inside the DRC before on specialized operations towards certain targets.

Okello Oryem is just showing how the Ugandans elites and the ones within the regime is thinking about it. It is their rights to attack and be part of military operations within the DRC. Since, they don’t want anything with the UN or MONUSCO. I wonder, if Okello Oryem would accept similar feelings in Somalia between the Somali National Army (SNA) and African Union Mission in Somalia (AMISOM), which the latter UPDF is a pat of. I wonder, if Okello Oryem and all of the Ugandan hierarchy would like to be painted in similar fashion. Because, there is two sides to any coin and this is a foolish take.

Yes, MONUSCO isn’t perfect and neither is it’s mission. There has been continued insurgency and lack of territorial integrity, which the Ugandan and Rwandan counter-parts has supported and participated with. That is well-known and is a reason for the illegal export of resources from the provinces as well. Therefore, Okello Oryem should be a bit more humble, but I know that’s too much to ask for in 2021.

Okello Oryem could suddenly wake up and bite the dust. Since, his just showing a lot of flair. Nevertheless, we know the trouble will return and be a real issue. There isn’t only the ADF in Ituri, North and South Kivu provinces. There is several of other militias and guerrillas in the provinces and they are causing massive concern and is a silent war that never ends. They are invested in, given arms and training. This is deliberate and the joint operation will not stop this… sadly…

MONUSCO will not end this and they being gone will not stop the existence either. As long as the head of state and foreign interference for profits continues. The insecurity and usage of militias will continue.

It is like we are supposed to be naive and forget how this all started. The UPDF and RDF is responsible for a lot of the pain. The two nations have used the provinces and the DRC as a treasury chest for them. While using the same means to re-enter again and for some reason the Kinshasa government allows that to happen. This is even happening, as the State of Emergency in this regions are occurring. That is really tragic…

Okello Oryem should think about what he says. Since this could be easily said about the UPDF within the AMISOM. Which the SNA and Federal Government of Somalia (FGS) only creates more problems within Somalia. Alas, he as a diplomat should be more careful, but I don’t expect it to ever happen. Peace.

UN Expert Report says that DRC gold smuggling increased during COVID-19 lockdown to Burundi and Rwanda…

Yet again there are exploits of conflicts and the resources. The latest UN Group of Experts Report on the Democratic Republic of Congo (DRC) establishes this fact. This isn’t a shocking revelation, as this has persisted for so long. The illicit and trade of minerals in the DRC to the neighbours have been going on for years. Where the militias and other “rebel” outfits have exploited the porous borders.

What was striking was a few of the sentences and that this of business continues. That the ones enriching themselves continues in haste. Producing, exporting and trading illicit gold. This is being exploited and extracted in the DRC. Later illegally exported to Burundi and Rwanda. We know this also happens to Uganda in the report. However, they have not stated the scale there. As we know the Gold Refinery in Entebbe for illegal gold exports.

Here is excerpts from the Report:

“Three mining authorities confirmed that cross-border gold smuggling between South Kivu (see S/2020/482, annex 45) and Burundi and Rwanda had increased during the COVID-19 lockdown. Two authorities explained that this was because, while gold production continued, border closures reduced the value of dollars hand-carried into the Democratic Republic of the Congo for illicit gold transactions. According to official mining data, 30.6 kg of gold were officially exported from South Kivu between January and October 2020, while official gold production was 7.1557 kg between January and September 2020 according to mining authority data” (United Nations Experts Report December 2020, P: 19, 2020).

“The Group noted that, as was also the case in 2019 (see S/2020/482, annex 16), as of October 2020 official recorded gold production for South Kivu was far lower than the volume of gold exported. Total gold production as of September 2020 was 7155.7 grams, while exports were 30.6 kilograms for the year up to October 2020. Following the COVID-19 border closures, only two gold trading comptoirs – Etablissement Namukaya and Etablissement ML – exported gold in the second half of 2020 until the time of drafting this report. Bukavu-based gold trading house Mines Propres SARL suspended its operations in South Kivu as of February 2020, but confirmed to the Group that construction of Congo Gold Raffinerie (see S/2020/482, annex 25) continued in its place (Karim Somji, an associate of Congo Gold Raffinerie also owns Mines Propres SARL” (United Nations Experts Report December 2020, P: 186, 2020).

This here story isn’t a new, but it shows a pattern. Where there is more production than recorded. More gold produced than what is initially registered. This here is proof of the illicit trade, as the records itself states.

The Est. Namukaya is even mentioned an export to Kampala to Muzira Bravia Ltd. A company the UN Group of Experts couldn’t find in a registry. Therefore, that is easy an front and not the true company who imported this gold. That could easily be another concealment.

However, all this here just shows that its big business to trade gold illegally and illicit trade of conflict minerals. Where the DRC is not getting reported wealth out of their resources. While the militias and others are profiting on the mines. That is reality of this. Peace.