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‘Copper production to rise to 1 million tonnes by 2015’

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Mines and Minerals Development Minister Maxwell Mwale says the country’s copper production is expected to hit 1,000,000 tonnes per year by 2015 from the current 713,000 tonnes.

Mr. Mwale told parliament in a ministerial statement yesterday that this has given the current rate of development in the mining sector supported by good government policies and the high commodity prices.

He says the expected production of copper production of one million tones per year by 2015 will be as a result of the additional contribution of new copper projects such as the Konkola north copper project,Nchanga copper refectory ores, and the Mkushi copper project among others.

He says the Konkola north mine which is jointly owned by African Rainbow of South Africa and Vale of Brazil has an estimated ore reserve of 246 million tonnes at a grade of 2.26% copper giving a total value of copper of 5.6 million tonnes.

Mr. Mwale added that the two companies Africa Rainbow and Vale hold 80% shares in the mine with the remaining 20% shares held by ZCCM-IH and five percent shares being are free carry.

And Mr Mwale says the mining sector’s current contribution to the national treasury stands at 30 percent.

He says mining has continued to be the major economic driver for the country.

He said the sector is currently contributing an average of 10 percent to GDP, with the potential to contribute in excess of 10 percent GDP.
[ QFM ]

20 COMMENTS

  1. Good to see such growth but its sad that much of this growth in production and the resultant earnings will go to foreign companies.Lets refocus our energies from politics to economic and human development if we want tangible changes lest we spend the next 47 yrs like the last 47-with little to show for it.

  2. copper production to rise to 1 million tonnes. all proceeds of the copper to go to india, china, brazil and south africa. Zambians to be left with nothing

  3. I have a question. HERE IN AUSTRALIA FOR EXAMPLE, SOMEBODY WORKING AT A MINE AS A DUMP TRUCK DRIVER GETS PAID $45 DOLLARS PER HOUR. THEY WORK FOR 12 HOURS PER DAY = $540 DOLLARS PER DAY CONVERTED TO ZAMBIA ITS K2,599,464.04 ZMK……
    1) MY QUESTION IS WHY IS THERE A DIFFERENCE BETWEEN ZAMBIA AND AUSTRALIA IF BOTH COUNTRIES SELL THEIR COPPER IN CHINA? (2) ALTHOUGH THEY PAY THESE HUGE SALARIES BUT THEY CONTINUE TO EXPAND AND ALSO HAVE NEW MINES BEEN SET UP. WHY IS IT A PROBLEM FOR US IN ZAMBIA? (3) AUSTRALIAN MINES PAY TAX AT MUCH HIGHER RATES AND TAX EVASION IS IMPOSSIBLE DUE TO CONTROLS IN PLACE BUT THEY CONTINUE TO EXPAND EVEN WHEN THEY PAY TAX. WHY IS IT A PROBLEM FOR ZAMBIA TO TAX THE FOREIGN MINES?
    EQUINOX FOR EXAMPLE PAYS HUGE AMOUNTS EXPLAINED ABOVE HERE IN AUSTRALIA BUT NOT ZAMBIA

  4. #3- Good and valid questions. As a matter of fact, the same applies to Chile in terms of good remuneration to its miners. As an ex-miner, I can honestly say I think its because there is no political will in our Country. Now, by political will I do not mean confrontational behavior against the mine owners in our Country, no, but drawing up well researched guidelines to reward workers based on what is obtaining internationally as well as locally.

  5. WORKERS ARE BEING EXPLOITED AND NO WINDFALL TAX, SO WE ARE NOT BENEFITING FROM OUR MINERAL RESOURCES.ALL IS NOT LOST,THE WIND OF CHANGE IS COMING.
    DONT VOTE FOR TRIBAL PARTIES IF YOU WANT CHANGE.
    VOTE MICHAEL SATA AND PF COME 2011.
    BE PART OF THE BALLOT REVOLUTION,
    MWAMUKOLO, PABWATOOOO, ON THE BOAT

  6. Yes, the big holes that will be left behind will not do us any good. We hope Namugala will turn them out into crocodiles ponds, then as Zambians this will be our childrens future. At list we will be OK beacuase there will be more tourist sites. This is something people will remember about The president and mines minister. You are doing a good job. More money in your pockets and no money in our pockets VIVA RB.

  7. However,

    1) It will not be our copper, so this increase might as well happen in Chile…

    2) Unless the price of copper collapses between 2011 and 2015…

    3) Thanks to the MMD, this will only mean the impoverishment of the Zambian economy – more wearing down of roads, more labour accidents…

    Of course, the fininance minister believes that everything is ok, because this will mean more (below minimum wage of course) jobs, and a marginal increase in the PAYE the government can collect.

    I guess he is not very good at maths, or maybe he is paid to have this opinion – by the same foreign mining companies who are laughing all the way to the bankm, cashing in the record profits from our copper.

  8. nice for Zambia for the foregin countries will benefit from our copper while zambia will remain with the holes? What a useless govnt you have guys. Let us vote wisely this time, let us put in power the man of actions. Viva PF.

  9. No. 4 and No. 5
    Its always good to seek advice from other people who are learned before exposing ignorance. Australian mines are fully mechanised as a result very few people work underground in those mines hence productivity is extremely hign hence they can pay their salaries higher wages. The same applies for Chile, Canada etc.
    In Zambia a mines are partially mechanised and are labour intensive hence low productivity. A mine in Australia will employ 150 workers while the similar mine with the same output in Zambia will employ 3000 workers. If you paid them the same salaries as in Australia you do the math, its uneconomical.
    The question you should ask is why are the mines in Zambia not fully mechanised? The answer is Zambia has low skills levels and people like you will cry.

  10. People like you will cry that workers are being retrenched. Thats why you find mines in places like South Africa having huge operating costs and unproductive because the are labour intensive. Its nothing politcal but COMMON SENSE

  11. #12 Ku Soth Africa this blog needs more of you and less of them including #10. you #11 do you did you just wanted to post something? zambia is doing better with this gov than it has ever done. when was the last time zed was on the top of the list of investment destination. people that went to school to evaluate economic performance feel zed on the up swing economically. interest rates are going down, unemployment is reducing, the national reserves are growing again,trade is in surplus,gov spending is reducing, more zambia are owning businesses and property. read CSO reports

  12. Is this Minister and his government sane? Listen to his comments below on the death of four miners at Nchanga. He focuses only on production. Not on the lives the country has lost:

    Four miners died on Friday following an accident at Zambia’s Nchanga open pit mine, owned by London-listed Vedanta Resources’ (VED.L: Quote), police said.

    The country’s mines minister said production was not impacted because the site was not yet pulling copper out of the ground.

    “I have just been informed about the accident which happened at a new project site. It has not affected output because the site is under construction,” Mines Minister Maxwell Mwale said.

  13. During Levy’s reign, the price of copper reached over 8,000 per tonne and the effect was felt on strength of the kwacha which appreciated to as low as 3,200 against the USD. Funny thing is that it is over 10,000 now but there is no positive effect on the Kwacha which has gone to the do.gs. Is this the difference between Windfall tax and lack of it ?

  14. Dear #12Ku South Africa,
    Since you directed your comment to mine, I will say this much. Your apparent lack of capacity to debate on an issue and stay on course without degenerating into using childish derogatory terms on others speaks volumes about you. However, I will not labour on that. Suffice to say you could turnout to be a friend’s son…
    My interest is in the points you highlighted. As you are aware, they are no brainers as they have been sung over and over since RCM-NCCM days, maybe with a better and more convincing melody then. When ZCCM was formed, same song was sung, but, for example, the political will of the day caused the mines to send us to some of the best universities in the world. Now, brand new mines have just been opened. Same old song again? How about future plans to..

  15. Cont/d….How about future plans to open more new mines. Same old song again? Cry about labour retrenchment in a mine that’s not opened yet? How does that work? Low skills levels? When there are young Zambians like you who have gone thru tertiary education at home and abroad?
    We need political will in our Country to draw up well researched guidelines to reward workers based on what is obtaining internationally as well as locally. Thats what Govts are for. They do it all the time here in the UK for instance. Above all, we need to start thinking outside the box before the copper runs out. Like secondary industries (cottage industries for instance) for copper based items..etc.

  16. Kcm give us chance please of employment as college graduates to enhance the productivity of your company so that we will be able to support mur families

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