Washington has imposed sanctions on a Rwandan gold refinery and its CEO, accusing them of facilitating the trade of illegally extracted gold from eastern Democratic Republic of Congo (DRC) to fund the M23 rebel group.

The US Treasury Department stated that Gasabo Gold Refinery and its director, Jean Malic Kalima, allegedly collaborated with Rwandan officials and M23 rebels to extract and transport gold from DRC’s mineral-rich eastern provinces. The operation allegedly involved securing convoys that moved the gold from mining sites near Bukavu—close to the Rwandan border—to Kigali, where the refinery operates.

US Treasury: Illegal mineral trade fuels instability in the region

According to the Treasury, over 60 kg of gold—worth millions of dollars—were smuggled from DRC to Rwanda in early 2026 using this route. “The United States will not permit outlaw groups to profit from illegal mineral trade that destabilizes the region,” declared Treasury Secretary Scott Bessent in an official statement. “The DRC’s mineral wealth rightfully belongs to the Congolese people.”

The sanctions block all assets held by the targeted individuals or entities in the US and prohibit any transactions involving American citizens, companies, or foreign firms operating in US dollars.

M23 rebels benefit from illegal mineral trade

Since its resurgence in late 2021, the M23 rebel group—backed by Rwandan military support—has seized control of vast territories in eastern DRC, a region plagued by decades of conflict and rich in natural resources. Investigations reveal that the group imposes heavy taxes on mineral production and trade, including coltan, a critical component in electronics manufacturing.

In April 2024, M23 captured Rubaya, a key mining hub producing 15% of the world’s coltan. Between May and October 2024 alone, experts estimated 120 tons of coltan were exported monthly to Rwanda—much of it allegedly smuggled or taxed by rebel forces. Global Witness reports highlight that hundreds of tons of coltan have been looted in eastern DRC, laundered in Rwanda, and shipped to international electronics supply chains.