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Investee Companies, Investee Company News

Mopani to make $60m profit for first time in 20 years

MWILA NTAMBI, Kitwe
WHILE the situation at Konkola Copper Mines (KCM) looks depressing with the company needing a short-term capital injection of US$88 million, the outlook at Mopani Copper Mines (MCM) is more encouraging with the firm projecting to make US$57 million profit, the first-ever in 21 years.
The revelation is significant. State mining investment company ZCCM-IH took on US$1.5 billion in debt in January to take over Swiss metal trading company Glencore International AG’s majority stake in Mopani.
In April 2000, Mopani purchased assets of the Zambia Consolidated Copper Mines (ZCCM) comprising underground mines, concentrator, smelter, and refinery at Mufulira mine site. It did the same with those at the Nkana mine site in Kitwe.
The price was US$20 million cash and US$23 million in deferred payments, US$159 million new investment commitment, and an additional “conditional investment” commitment of some US$200 million.
But this came with many privileges and tax advantages.
In 2009, Zambia Revenue Authority (ZRA) commissioned Grant Thornton, Norwegian consulting and engineering group ECON Poyry to do a pilot audit of the operational costs, revenues, transfer pricing, employee expenses, and CLICK TO READ MORE 

Source: http://www.daily-mail.co.zm
Annual Report Summaries, Investee Companies

Kariba Minerals Limited(KML) Extract from 2021 Annual Report

For the year ended 31 December 2021, Kariba Minerals Limited (KML) reported total revenues of ZMW26.12 million (2020: ZMW 12.44 million) with a net profit of ZMW1.63 million (2020: ZMW11.19 million net loss). 

During the period under review, ZCCM-IH provided an extension on the US$550,000 cash cover for KML’s US$500,000 working capital facility with Investrust Bank Plc. The facility was set to expire during the period under review, and KML requested the extension of the facility for an additional 12 months. The request was made due to continued challenges caused by the adverse effects of the Covid-19 pandemic. 

During the year, the Company developed a turnaround plan to transform KML from loss making to profitability. The plan is anchored on establishing a resource estimate and mine plan to increase productivity, implementation of a marketing plan, and value addition and beneficiation to the amethyst. 

The projected impact of the implementation of the turnaround plan on mine operations will be an increase in sales revenue which is expected to increase by more than 50% from the Kenneth Kaunda International Airport Retail Shop, Gemstone trading, manufacturing of Amethyst Stone Tops and Gemstone cutting and polishing. 

There were no dividends declared during the financial year under review (2020: Nil). 
Annual Report Summaries, Investee Companies

Consolidated Gold Company of Zambia Limited (CGCZ) Extract from 2021 Annual Report

Consolidated Gold Company of Zambia Limited (CGCZ) is a joint venture partnership between 

ZCCM-IH (45%) and Karma Mining Services and Rural Development (55%). Incorporated in 

the year 2020, this Special Purpose Vehicle is focused on developing a gold processing and 

trading hub in Zambia. Phase 1 of the project was commissioned in Rufunsa District where a gold 

leaching plant has been constructed. CGCZ provides processing support to artisanal and smallscale 

miners in Rufunsa and Mumbwa in exchange for tailings material. 

During the year ended 31 December 2021, the Company produced 46.6kg (2020: nil) of gold 

which was sold to Zambia Gold Company. Income for the year ended 31 December 2021 was 

ZMW44.97 million (2020: ZMW0.61 million). CGCZ recorded a loss for the year of ZMW10.22 million 

(2020: 19.16 million). 
Industry News, ZCCM-IH, ZCCM-IH News

Zambian president promises to cut deficit, review mining policies

LUSAKA, Sept 10 (Reuters) – Zambian President Hakainde Hichilema said on Friday his new government would implement policies to reduce the fiscal deficit, restore economic growth and review mining policies.

In his first address to a new session of parliament since his election in August, Hichilema said officials would also review agricultural policies, revise electricity prices and reform state power firm Zesco.

Last November Africa’s second-biggest copper producer became the first country on the continent to default on its sovereign debt during the pandemic, after failing to keep up with payments on its nearly $13 billion of international debt.

“Rebuilding our economy is top on our agenda. We will implement policies to address the fiscal deficit while ensuring that confidence is restored in the markets,” Hichilema said.

“We have indeed inherited an economy that is in dire straits and requires bold and decisive action to be taken,” he said, adding that his government was committed to halting the accumulation of expensive public debt.

Zambia’s external debt includes about $3 billion in Eurobonds, $3.5 billion in bilateral debt, $2.1 billion owed to multilateral agencies and $2.9 billion in commercial bank debt.

Zambia also owes mining companies more than $1.5 billion in value-added tax (VAT) refunds, an issue that soured relations between the government and the mining sector. read more

The VAT refunds are the top priority for the industry, said Zambia’s Chamber of Mines CEO Godwin Beene, who represents mining companies including First Quantum Minerals’ Kansanshi Mining and Barrick Gold’s Lumwana Mining.

‘GAME-CHANGER’ FOR MINING COMPANIES

Hichilema’s market-friendly stance will attract new investment into Zambia’s mining sector and help boost the country’s copper production at a propitious time of near record-high copper prices, Beene said.

“This election was a game-changer for the industry,” he told Reuters.

Hichilema’s predecessor, Edgar Lungu, had pushed for greater state ownership of mines. State mining investment company ZCCM-IH took on $1.5 billion in debt in January to take over Glencore’s majority stake in the Mopani copper mine.

The previous government was looking for an investor to fund the mine’s expansion, which would boost output from 34,000 tonnes of copper a year to 150,000 tonnes.

Zambia as a whole hopes to increase its annual copper output to 2 million tonnes by 2026, new finance minister Situmbeko Musokotwane said last month. The country produced 882,000 tonnes last year.

Hitting that target will require significant investment in Mopani and other mines across Zambia, as well as in exploration.

Reporting by Chris Mfula; Additional reporting by Helen Reid; Writing by Alexander Winning and MacDonald Dzirutwe; Editing by Edmund Blair and Gareth Jones

Our Standards: The Thomson Reuters Trust Principles.
Archived Jobs, ZCCM-IH, ZCCM-IH News

Zambia Gold Company Limited (ZGCL) Job Advertisement 1st September 2021

The Zambia Gold Company Limited (ZGCL) was established in 2020, with the main objective of formalising and developing the gold sub-sector in the country. The shareholders of the company are the ZCCM Investments Holding (ZCCM-IH) with 51 per cent and the Government of the Republic of Zambia through the Ministry of Finance with 49 per cent. The Company has been working towards turning the gold sub-sector into a commercially viable one, which will not only benefit the investors but also all other relevant stakeholders.

In order to achieve this, the Company invites applications from suitably qualified individuals, who are innovative, energetic and performance driven to fill the following positions:

1. Assistant Accountant-Payables X 1 

Location         :           Lusaka                                              
Department  :           Finance
Report to        :           Accountant
Head of Dept :        Head Finance
Job Purpose

To provide support to the Accountant and wider finance team by helping to prepare and maintain accurate financial records, processing of invoices and payments, assisting in the preparation and submission of statutory returns for ZRA, NAPSA and other applicable regulators.

Main Duties

  1. Raising of payments and petty cash vouchers for processing after inspecting and verifying support documents such as invoices, delivery notes and receipts.
  2. Posting of transactions and payments in the accounting system to the respective ledger accounts.
  3. Assist in the monthly preparation and submission of statutory returns for ZRA, NAPSA and other regulators.
  4. Maintain complete and accurate filing system to support safe retention of all Company financial records.
  5. Assist in the preparation of payroll for all employees.
  6. Maintain an accurate and up-to-date cashbook on a daily basis.
  7. Maintain an accurate and up-to-date petty cash float system.
  8. Reconciliation of supplier accounts at the end of the month.
  9. Monitoring and timely reconciliation of imprest advanced to employees.
  10. Any other duties as assigned by the Supervisor

Qualifications and experience

  1. a) Professional Qualifications
    • Full Grade12 Certificate or its equivalent
    • Diploma in Accountancy or Finance, ACCA level 2, ZICA Licentiate, CIMA level 2 or its equivalent.   
  2. b) Minimum Relevant Job Experience:
    •  3 years of work experience in a similar position.
  3. c) Skill Specifications:
    • Good numerical and analytical skills
    • Good communication skills both written and spoken
    • Excellent computer skills
    • Interpersonal skills
  4. d) Other Attributes (Personality Traits)
    • Integrity and Confidentiality
    • Autonomy
    • Honesty
    • Result oriented
    • Pleasant personality

2. Assistant Accountant – Receivables and Reconciliations X1

Location         :           Lusaka                                         
Department   :           Finance 
Report to        :           Accountant
Head of Dept :           Head Finance
Job Purpose

 To provide support to the Accountant and wider finance team by updating and maintaining accurate financial records as well as preparation of management reports for both internal and external purposes.

Main duties

  1. Posting of sales transactions as well as other receipts for the Company on the Accounting package.
  2. Preparation of all sales invoices for the Company.
  3. Maintenance and follow-up on outstanding Company receivables.
  4. Assist in the maintenance of an accurate fixed assets register.
  5. Assist in the reconciliation of all balance sheet accounts on a monthly basis
  6. Assist in the preparation of the monthly management accounts.
  7. Assist in the preparation of annual financial statements for the Company.
  8. Prepare all manual journal entries on a monthly basis.
  9. Assist with provision of support documentation requested for by the Company external auditors as well as other stakeholders.
  10. Any other duties as assigned by the Supervisor.

Qualifications and experience

  1. a) Professional Qualifications
    • Full Grade12 Certificate or its equivalent
    • Diploma in Accountancy or Finance, ACCA level 2, ZICA Licentiate, CIMA level 2 or its equivalent.
  1. b) Minimum Relevant Job Experience:
    • 3 years of work experience in a similar position.
  1. c) Skill Specifications:
    • Good numerical and analytical skills
    • Good communication skills both written and spoken
    • Excellent computer skills
    • Interpersonal skills  
  1. d) Other Attributes (Personality Traits)
    • Integrity and Confidentiality
    • Autonomy
    • Honesty
    • Result oriented

ZGCL provides equal employment opportunities to all Zambians on merit.

Interested suitably qualified and experienced individuals should send their application letters, together with certified copies of academic and professional certificates, a detailed curriculum vitae with traceable references, and copy of the NRC to the undersigned not later than Friday, 10th September, 2021.

Only shortlisted candidates will be responded to.
Head Human Resources and Administration
Zambia Gold Company Limited
Subdivision F/377a/30/B
Kudu Road, Kabulonga
LUSAKA

Email:  JobsZamGold@zccmnew.wpenginepowered.com

Download the document here: Advertisement 1 September 2021
All Posts, Archived Tenders, Investee Companies

Invitation for Bids – HFO

LIMESTONE RESOURCES LIMITED

Incorporated in the Republic of Zambia

Invitation for Bids (IFB)

Supply and Delivery of Heavy Fuel Oil (HFO) to Limestone Resources Limited of Ndola, Copperbelt Province

ONB No.: LRL/001/2021

  1. Limestone Resources Limited (LRL) using financing from own sources (budgeted LRL Operating Expenditure (OPEX) for the 2021 Financial Year), intends to apply part of the funds for payments under the Contract for the Supply and Delivery of Heavy Fuel Oils (HFO) to Limestone Resources Limited of Ndola, Copperbelt Province; Contract: LRL/001/2021.
  2. Limestone Resources Limited “LRL” is a ZCCM Investments Holdings Plc (ZCCM-IH) wholly-owned subsidiary and is located in Ndola District, Copperbelt Province.
  3. It is against this background that Limestone Resources Limited now invites sealed bids from eligible and qualified bidders for the Supply and Delivery of HFO to Limestone Resources Limited of Ndola, Copperbelt Province; Contract No.: LRL/001/2021. The HFO to be delivered to Limestone Resources Limited of Ndola, Copperbelt Province.
  4. Bidding will be conducted through the Open National Bidding (ONB) procedures specified in the Public Procurement Act of 2008 and the Public Procurement Regulations of 2011 and is open to all bidders from Eligible Source Countries as defined in the Bidding Documents. The following CEEC preferential treatment shall be applied as part of the evaluation:

4.1 Citizen-influenced company – 4%

4.2 Citizen-empowered company – 8%

4.3 Citizen-owned company – 12%

  1. Interested eligible bidders may obtain further information from the address below and inspect the Bidding Documents at this address from 08:00 – 13:00 and 14:00 – 17:00 local time, Monday to Friday
  2. Qualifications requirements include:

(a)   Financial Capability.

The Bidder shall furnish documentary evidence that it meets the following financial requirement(s):

      1. A minimum amount of liquid assets and/or credit facilities of ZMW1,760,000.00

(b)     Experience and Technical Capacity.

The Bidder shall furnish documentary evidence to demonstrate that it meets the following experience requirement(s): Carried out at least two (02) contracts of a similar nature and scope in last one (01) year.

  1. A complete set of Bidding Documents in English may be purchased by interested bidders ON THE SUBMISSION OF A WRITTEN APPLICATION to the address below and upon payment of a non-refundable fee of Zambian Kwacha Five Hundred (ZMW500.00). The method of payment will be through bank transfer.

          Account type: CORPORATE CURRENT ACCOUNT.

          Account currency: ZMW – ZAMBIAN KWACHA.

          Sort code: 040103 BANK STATEMENT / TAX INVOICE

          Account number: 9130004314402

 

  1. The address referred to above is:

Head of Procurement
Limestone Resources Limited
P.O. Box 70057, Plot 1523
Depot Road Cleveland Park
Ndola, Zambia  

E-mail: ASakala@lrl.co.zm

  1. Bids must be delivered to the address below at or before 10:00 hours on Thursday, 06th September 2021. Electronic bidding shall not be permitted. Late bids will be rejected. Bids will be opened physically in the presence of the bidders’ representatives who choose to attend in person at the address below immediately after 10:00 hours on 06h September 2021. All bids must be accompanied by a Bid Securing Declaration.
  2. The address referred to in clause 8 is:

Head of Procurement
Limestone Resources Limited
P.O. Box 70057, Plot 1523
Depot Road Cleveland Park
Ndola, Zambia  

E-mail: ASakala@lrl.co.zm
ZCCM-IH News

Maamba Collieries Completes Five Years Of Energy Supply

This month marks five years since the commissioning of Zambia’s largest coalfired Thermal Power Plant at Maamba Collieries in Sinazongwe District, Southern Province and commencing supply of electricity to the national grid.

The state-of-the-art 300 MW plant was commissioned by the Republican President H.E. Mr. Edgar Chagwa Lungu on August 7, 2016, making MCL Zambia’s largest Independent Power Producer – accounting for about 10% of the country’s installed capacity at the time.

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