THE timely decision by Government to settle outstanding benefits owed to miners at Mopani Copper Mines (MCM) following the change of the share structure at the mine is indeed commendable and cannot go without comment. The decision will no doubt go a long way to ease the financial burden of the miners and their families. President Edgar Lungu sent miners and their spouses into jubilation after directing Mopani management to pay them their separation packages on Saturday.
First Quantum Minerals (TSX: FM) has shelved plans to sell a stake in its Zambian copper mines, chief operating officer Tristan Pascall said on Wednesday.
China’s Jiangxi Copper had been speculated as a potential suitor for minority interests in First Quantum’s Kansanshi and Sentinel mines.
Following the sale of Chibuluma South Crown Pillar Mine, Chibuluma Mines could not sustain operations with ore from Chifupu Underground Mine alone. Therefore, the Chibuluma Mines Plc Board, resolved to place the operations of Chibuluma Mine Plc under care and maintenance with effect from 1 July 2020. This resulted in the Company getting into a lease agreement with Lian Chao and Yue Ventures Limited (LC&Y) to operate key mining operations for the 2021 financial year.
The lease between Chibuluma and LC&Y was recognised for the period up to 30 June 2021. The investment of the lease was US$ 6.79 million, and the assets disposed of by Chibuluma was US$ 5.00 million. This resulted in a net gain on the lease investment of US$ 1.79 million as charged to the income statement.
Following the resumption of production under LC&Y a total of 1,069 tonnes of payable Copper was sold to Chambishi Copper Smelter by LC&Y. Chibuluma earned income royalty of US$ 0.88 million. For the period under review, the Company recorded a net profit of US$ 1.69 million against a budget loss of US$ 1.13 million due to favourable prices and increased production under the lease agreement.
There were no dividends paid during the year ended 31 December 2021 (2020: Nil).
GOVERNMENT should procure more gold exploration and processing equipment for artisanal miners to increase production of the mineral, Citizens Democratic Party (CDP) President Robert Mwanza has said.
Mr Mwanza said it was elating that the Bank of Zambia (BoZ) had bought 478.76 kilogrammes of gold at a cost of K604.3 million since last December.
ZAMBIA Gold Company Limited (ZGCL) has accelerated gold explorations at its Kasenseli project in Mwinilunga as it looks to meet the increasing demand for the precious metal. ZGCL, which is a subsidiary of ZCCM-Investments Holdings (IH), has been producing gold and buying the precious metal from small-scale gold miners, with the company producing and buying over 38,320 grams and 29,523.31 grams respectively. This brings the total number of gold produced to date from the time mining activities started to 115,474 grams. ZGCL project manager Charles Mjumpi said the exploration the firm is undertaking will go a long way in increasing production to help the central bank build its gold reserves. Mr Mjumpi said the company, working with ZCCM-IH, has started preliminary mineral exploration activities in Rufunsa, with full exploration starting next month.
“At present, we are carrying out gold explorations and mining in CLICK TO READ MORE
(ZANIS) The Bank of Zambia has purchased 478.76 kilograms of gold at a cost of 604.3 million Kwacha since December 2020.
In a statement, the Bank of Zambia, Communications Division says this is broken down in 391.92 Kilograms purchased from Kansanshi Copper Mining Plc at a cost of 500.5 Million Kwacha and 86.84 Kilograms purchased from Zambia Gold Company, a subsidiary of ZCCM-IH at a cost of 103.8 million Kwacha.
As the world frets around a rising COVID19 delta variant spread, markets are clearly reacting in ways causing investors fleeing to safety in gold which has pushed its price to $1,823.57/oz roughly 0.9% up in the week.
The Bank of Zambia has purchased 478.76 Kgs (15,392 ounces) of gold at a cost of K604.3 million since December, 2020. This is broken down in 391.92 Kgs (12,600 ounces) purchased from Kansanshi Copper Mining Plc at a cost of K500.5 million and 86.84 Kgs (2,791.91 ounces) purchased from Zambia Gold Company, a subsidiary of ZCCM – IH at a cost of K103.8 million.
The Economics Association of Zambia -EAZ- has lauded President EDGAR LUNGU for ordering the payment of terminal benefits to MOPANI Copper Mine Workers.
EAZ Vice President AUSTIN MWANGE also says ZAMBIANS must understand that the payment of terminal benefits to MOPANI Copper Mine Workers does not entail that the beneficiaries have been retrenched.
Dr .MWANGE says the beneficiaries are entitled to the benefits as they have been transitioned from GLENCORE Company to the new ownership of the Mine of government ownership under ZCCM.
Mopani Copper Mines – MCM which was recently handed back to ZCCM IH under a local management team has continued to improve production month on month since the transition on April 1, 2021 producing 8,306 tons and 8,330 in April and May resulting in monthly revenues of about US$80 million
It’s monthly average revenues have continued to improve based on sustained month on month improvements as well as improved international prices of the commodity. Mopani copper mines produced copper worth about US$78,730,995 in May 2021 at the current market prices of US$ 9,451.50 on the London Metal Exchange (LME).