For the year ended 31st December 2023, Mopani Copper Mines (MCM) recorded cumulative net revenue of ZMW11.55 billion (US$562.87 million), (2022: ZMW11.85 billion (US$695.25 million)). The net loss for the year under review was ZMW8.96 billion (US$435.29 million) (2022: ZMW5.05 billion (US$292.55 million)).
During the year under review, MCM produced a total of 65,602 tonnes of finished copper (2022: 72,694 tonnes). The lower production during the year under review was mainly due to low equipment availability, and limited ore sources to mine due to delayed development. In addition, there were multiple outages of the fixed plants across all shafts.
After the year ended 31 December 2023, ZCCM-IH achieved a significant development on Mopani involving a new partnership and an investment that marks a transformative chapter for Zambia’s mining sector and its economy at large. Zambia selected the United Arab Emirates’ International Resources Holdings (IRH), a unit linked to Abu Dhabi’s most valuable listed company, International Holdings Company (IHC), as the new strategic equity partner for Mopani Copper Mines. This partnership is aimed at investing funds into Mopani to help with short-term working capital and finance the completion of the mine development to unlock its long-term potential. Additionally, this move is expected to restructure the Mopani’s balance sheet and increase copper production to at least 200,000 metric tons per annum in future.
In 2024, ZCCM-IH has a 49% equity stake in Mopani Copper Mine, with IRH through its subsidiary Delta Mining Limited (Delta) holding a 51% equity stake after an initial investment of US$1.1 billion was made. This agreement included financing MCM’s Project Development Plan (PDP) by providing working capital and restructuring certain existing Glencore liabilities. A new Board of Directors reflecting the revised shareholding structure has been established, and further capital has been made available as shareholder loans based on future working capital requirements.
There were no dividends declared during the period under review (December 2022: Nil)