The Congolese police has clashed with illegal copper miners operating in the Tenke Fungurume copper/cobalt mining concession which started output in May this year, a company official told Dow Jones Newswires late Tuesday.

Tenke Fungurume communications officer Margaret Rashidi Kabamba said that a group of illegal artisanal miners were dispersed from Kakule hill, within the mining areas of Tenke Fungurume, over the weekend, which sparked off riots that culminated into clashes between the miners and local authorities. Tenke Fungurume is majority-owned by U.S-based Freeport McMoRan Copper & Gold Inc. (FCX).

According to Kabamba, the individuals who had been engaged in the unsanctioned and illegal mining activities demonstrated outside the police station in Fungurume on Sunday demanding retrieval of the mineral ores confiscated by the police.

“Local authorities dispersed the demonstration and arrested one individual. No one was injured,” she said adding that the incident had no impact on operations of the copper mine.

Illegal mining activities remain one of the major challenges of mining companies operating in Congo. Analysts say that years of political instability and civil wars have left authorities with little control over mining concessions, allowing illegal miners to take over most facilities. Millions of Congolese are engaged in illegal mining activities mainly in Katanga and the lawless eastern and north eastern regions.

Freeport has spent at least $2 billion on Tenke Fungurume, which according to analysts is the largest exploited copper and cobalt deposit in the world. The company is also embroiled in a contract row with the Congolese government over the project.

Freeport holds a 57.75% stake in the project while Lundin Mining Corp (LUN.T) holds 24.75%, with the remainder owned by Congo’s state mining company, Gecamines.

-By Nicholas Bariyo, contributing to Dow Jones Newswires; +256 75 2624615; bariyonic@yahoo.co.uk