The US Treasury Department has levied sanctions against Gasabo Gold Refinery, a Rwandan gold processing company, and its director, Jean Malic Kalima. American authorities allege the company facilitated the illegal extraction, transportation, and resale of gold originating from eastern Democratic Republic of the Congo (DRC).

Washington claims Gasabo Gold Refinery worked in close coordination with Rwandan government officials and the M23 rebel group. The company allegedly received protection from Rwandan soldiers and M23 fighters during the transport of gold to Bukavu before it was smuggled into Kigali for refining.

According to US officials, nearly 60 kilograms of gold—worth several million dollars—were illicitly transferred to Rwanda in early 2026 alone.

These sanctions arrive amid mounting accusations of systematic looting of Congolese natural resources and persistent violence in the country’s eastern provinces.

Financial penalties target rebel financing

Washington’s latest measures aim to disrupt the financial lifelines of armed groups that profit from illegal mineral exploitation. “The United States will not allow outlaw factions to benefit from illicit mineral trade that destabilizes the region. The DRC’s mineral wealth rightfully belongs to the Congolese people,” stated US Treasury Secretary Scott Bessent.

The sanctions include freezing all US-based assets held by the company and its director, along with a ban on financial transactions with American individuals or entities. Foreign firms using the US dollar or operating subsidiaries in the US could also face restrictions.

Mineral trade fuels Congo conflict

Since its resurgence in late 2021, the M23 has seized control of mineral-rich territories in eastern DRC. Kinshasa, the United Nations, and Western governments accuse Rwanda of providing military support to the rebel group—a claim Kigali continues to deny.

The rebel group generates substantial revenue by taxing mineral extraction and trade. In April 2024, M23 forces captured Rubaya, one of the world’s largest coltan mining sites, which supplies approximately 15% of global coltan—a critical mineral for electronics manufacturing.

The group’s taxation of mining operations has become a major funding source for its activities.

New evidence of resource plundering

The US sanctions follow a recent investigation by Global Witness, an international NGO, which documented hundreds of tons of illegally mined coltan smuggled from eastern DRC into Rwanda. From there, the coltan was reportedly laundered and exported to global supply chains feeding major electronics manufacturers.

UN experts estimate that between May and October 2024, around 120 tons of coltan were exported monthly from M23-controlled areas to Rwanda.

Washington’s actions underscore its commitment to targeting not only armed groups but also the commercial networks enabling their operations. The move also reignites discussions about mineral traceability and the accountability of international actors within global supply chains.