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The Biden administration is exploring the purchase of a significant cobalt producer—a move aimed at breaking into a critical market where China dominates (The Wall Street Journal, subscription).

The deal: In recent weeks, the Biden administration has been involved in conversations with three different firms about purchasing a mining company based in the Democratic Republic of the Congo—a nation that produces almost three-quarters of the world’s supply of cobalt.

• The company, called Chemaf, is one of the world’s leading cobalt producers; according to the company, its mines could deliver 20,000 tons of cobalt every year—enough to make more than 140,000 electric vehicles.

The context: The deal is part of the Biden administration’s push to secure access to critical metals that are central to its plans for green energy. Cobalt is used for a range of products, from fighter jets to batteries for electric vehicles.

The competition for Congo: Over the course of the past decade, China-based companies have poured billions of dollars into mining interests in Congo, seeking to dominate the market for the essential metal. Meanwhile, the Biden administration has been working to shore up African infrastructure projects in part to make it more enticing for American and other Western companies to compete in the region.

• “The Biden administration has pledged billions of dollars in investments in infrastructure projects across Africa, including a railroad intended to carry Congolese minerals such as copper and cobalt across Angola to the Atlantic Ocean port of Lobito.”

The players: The United States has been in touch with a variety of companies over the past few weeks about participating in a deal to buy Chemaf either individually or as part of a consortium.

• Possible partners include mining and artificial intelligence company KoBold Metals, copper miner First Quantum Minerals and investment firm Orion Resource Partners, among others. Officials have also asked Phoenix-based copper company Freeport-McMoRan, which previously operated in Congo, whether it would be interested in returning to the region.

The challenge: A range of factors makes U.S. investors wary of becoming involved in the Congolese market. The price of buying a company like Chemaf is significant, and some investors are waiting for the U.S. government to offer inducements and guarantees from financial support to waivers from the Foreign Corrupt Practices Act before pursuing a deal.

• “[I]t has been difficult for the U.S. government to interest American investors in any sector in Congo because of the country’s poor infrastructure, limited skilled labor, resource nationalism and reputation for government corruption.”

The opportunity: With the current owners of the mining company looking to sell, the United States is optimistic about engineering a deal that serves U.S. interests while also promoting positive practices.

• “U.S. officials have said their goal is to offer a model that won’t result in indebtedness, corruption and environmental degradation.”