Washington has taken a firm stance against the illicit mineral trade fueling conflict in Central Africa. The United States government has issued new sanctions targeting a Rwandan business and its leadership, accused of laundering gold extracted illegally from the eastern Democratic Republic of Congo (RDC).
The specific targets are Gasabo Gold Refinery and its director, Jean Malic Kalima. Investigations reveal they acted as pivotal intermediaries for Rwandan officials and M23 insurgents, facilitating the extraction and movement of gold across the border to fund rebel activities.
The logistics of smuggling
The operation involved a coordinated effort between Rwandan military personnel and M23 fighters. Together, they ensured the safe passage of the precious metal to Bukavu, a border city in the RDC, before moving it to the refinery’s headquarters in Kigali, the Rwandan capital.
In just the early months of 2026, approximately 60 kilograms of gold—valued at millions of dollars—were funneled through this pipeline. “The United States will not permit criminal organizations to profit from mineral trafficking that destabilizes the region,” stated Treasury Secretary Scott Bessent. He further emphasized that the mineral wealth of the RDC belongs solely to the Congolese people.
Consequences of the sanctions
These measures result in the immediate freezing of any assets held by the targeted entities within US jurisdiction. Furthermore, American citizens and corporations are prohibited from engaging in business with them. This ban also impacts international firms that operate through US subsidiaries or conduct transactions using the US dollar.
Since its resurgence in late 2021, the M23 rebel group has expanded its control over significant territories in the resource-rich eastern RDC. Beyond gold, the group has targeted other strategic minerals. Notably, they seized the mining town of Rubaya in April 2024, a site responsible for 15% of global coltan production.
The armed group generates substantial revenue by taxing mineral production and trade. Reports from international experts indicate that approximately 120 tons of coltan were moved into Rwanda monthly during the latter half of 2024, highlighting the scale of the exploitation in the region.