Government has in collaboration with Vedanta Resources PLC formulated a business improvement plan meant to address the operational challenges facing Konkola Copper Mines (KCM).
The formulation of a business improvement plan is as a result of the long discussions government held with Vedanta and Konkola Copper Mines over the operations of the mine.
Vedanta Resources and KCM handed to the Government the Business Improvement Plan which outlines the investment plan, the profitability of the company and how it intends to pay its debt.
This follows the discussion held with Vedanta Resources, KCM and the Government on the findings submitted by the technical audit committee appointed to review the business operations of KCM.
Speaking during a media briefing yesterday afternoon where the business improvement plan was submitted to government, Mines Minister Christopher Yaluma disclosed that the said plan has an inclusion of committed critical funding.
Mr. Yaluma said that the funding is committed to greatly improve production and profitability of KCM, pay creditors and form a solid base for sustainable growth.
Mr. Yaluma also said that this also means that jobs at the Mine are also secured as KCM has also given an undertaking and commitment that there will be no redundancies as a result of implementing the business improvement plan.
And Vedanta Director for Corporate strategy Rahul Sharma said that the cooperative and understanding approach that government and the Vedanta have had which has also resulted in the formulation of the business improvement plan for KCM goes to exemplify Zambia’s strong position as one of Africa’s most preferred investment destination.
Mr. Sharma reiterated Vedanta’s full commitment to KCM’s success.
He said that Vedanta will also ensure that it does all that is necessary to build on its investments to make KCM a World Class Company.
He stated that with the large capital investment in excess of 2.8 billion Unites States Dollars, a significant addition in reserves and resources and KCM’s committed workforce, Vedanta is confident that Mining firm will remain a cornerstone in Zambia’s vision of producing over 1.5 million tons of copper annually.