The Economics Association of Zambia has supported the stance taken by Mines Minister Richard Musukwa who has asked Mopani Copper Mines to handover Mindolo North and Central shafts to the government if they have failed to run them.
Earlier last week Mopani Copper Mines Management announced the shutting down of two of its supposedly uneconomic units namely Mindolo North and Central shafts citing that they have outlived their useful life spans.
Mopani in a press release stated that management would then focus its efforts on essential capital projects which include the Synclinorium concentrator, Mindolo deeps and Henderson shaft in Mufulira.
This, the miner said this would enable it to focus on achieving both safe and productive outcomes which are essential to position Mopani for a successful future.
Mathews Muyembe, the EAZ Copperbelt Chairperson says the Association believes that this move would allow the Zambian government to offer these to local investors who will, in turn, utilise them as opportunities for employment.
Mr. Muyembe said this will assist the citizenry in bettering their livelihoods through mining the little minerals that are left in the dumps.
He said the EAZ bemoans the loss of jobs this operational shut down will result in especially that it is coming a little earlier than anticipated.
Mr. Muyembe added that the Association attaches immense value to the Copperbelt region which is Zambia’s mining hub and that loss of jobs impacts the livelihood of citizens.
Meanwhile, Mr. Muyembe has expressed displeasure at Konkola Copper Mines conduct in delaying payments to suppliers and salaries to staff and their prioritisation of foreign suppliers at the expense of locals.
He noted that the mine is on record for paying foreign suppliers upfront while local ones are dealt within 90-120 days or sometimes outside this range.
Mr. Muyembe said it is about a dry point of construction that, local obligations must be prioritised and has since advised that KCM are free to leave Zambia if they have failed to manage the mine.
He said the EAZ board find it very frustrating that KCM always arm twists the authorities at every opportunity it finds.
Mr. Muyembe emphasised that Zambia remains a favourable mining destination that most international investors have expressed immense interest.
Govt must just take over the part of Mopani and the entire KCM plc. The govt mus ensure kcm and Mopani are profitably managed. Please let us use this opportunity as a model and ensure the profits are ploughed back into the national treasure so as to improve our economic standing a and forex of Zambia.
Let’s roll
Government of Jerabos are happy, they can’t wait.
Taking over of all the mines is long overdue. What have these private foreign owners of mines done for the country? Zccm used to create lots of employment & supported sports & education. But these governments are even begging to take over. How can we run broke governments when we have so much resources that have been surrendered to foreigners who take the proceeds outside the country?
Can the knowledgeable people on this forum please help me – Will this government manage to run Mopani profitably? Is it also not planning to take over KCM? What is leading to all this hullabaloo on the running of mines now? Is it a Chinese led revolt? Are Chinese on the verge of taking over Zambian assets starting with the Mopani and KCM managed ones? Just asking please as I am in the dark.
The answer to your queation is…. this country is full of jokers. No public toilets, you can’t pay public workers salaries and you want to manage a mine?
Can you call what is happening at KCM as ‘managing a mine’? Go to Chingola and see for yourself what those Indian crooks have done to the once mighty Nchanga mine. There is literally nothing going on there. A so called mining giant has abandoned mining and is now in scrap metal trading!!
Good move. Zambian mines were better off when government was running them.
HH came in sold them because of his selfishness and took the money out of Zambia.
He wants to come back and sell presidential jet because he wants money to sustain his offshore accounts.
All he knows is selling Zambian properties with selfish intentions.
Say no if u don’t like HH and say yes if u agree with my observations.
Take them back and see how they’ll back track and start accusing the government of nationalisation. This is what happens when you walk into a deal at a disadvantage.
EAZ? What’s that? Oh sorry that group of PF cadres masquerading as economists? And where is the chief cadre Habanjoka is it?? Conveniently quiet when barely a few weeks ago it was ranting strong economy ?
What exactly is the meaning of “Handing over”? whoever heard of a business handing over their company to someone for free! Plus PF have no brains that operate a mine just a bunch of drunk riff-raffs in that cabinet.
EAZ is taking like its as simple as getting a walkman back from a friend who borrowed it. What figures are we talking about here? that is what should inform the next decision. Remember zamtel /lapgreen! As a professional body I expected EAZ to be more rational! Let
LAZ help interpret the closes in those contract while, ZICA (accountants)can help look at the figures. Lets not use emotions , every investment is protected. We hear govt inviting investors to invest in Zambia and assuring them that there investment is safe. If we are to take over the mines, let it be in accordance to the laid down procedures and laws.
It is called scavenging. They are keen on taking over Mopani and Konkola. Meantime Roan in Luansya is lying idle and government cannot galvanise money to reopen it. Sheer envy. Because someone is successful you think you will be equally successful by grabbing what is in his hands. Never!
EAZ, please give us a break at this time and age t go back to nationalization. It is not the business of the government to run businesses Kaunda, Nyerere and Mabuto had a different time. I call upon all former mine employees to put our heads together and run the mines.
They can’t run the economy – Zambia is going down because of these thieves now you want them to take mines !!!!!
NATIONALISE ALL profitable mines. We need to control our mines to ensure we benefit more than investors. We can’t let investors derail our stability. Enough is enough.
There is need to understand the power that the resource curse has had over most African countries, if we are to take over these mines a solid plan is needed to ensure resources generated help aid even the debt crisis, Zambia has the capability to raise again but we need to understand the commodity that we have “copper” most of the foreign companies glenco have for sometime generated a lot of profits from our copper but there accounts showing that they make loses making it difficult for ZRA to tax them because they are making negative profits…. most of these companies use fixed costs to evade taxes how? They have subsidiary companies that charge them inflated prices on the equipment which makes them look like they are making loses when I actual sense the money they make just revolves…
The other idea behind developing the synclinorium shaft is to esnure the ore that was hoisted through Central shaft will now be hoisted through Synclinorium shaft more efficiently. So which ore will our minister mine. At North shaft, the ore has simply finished, which is the same case with Chingola. We need to live with the reality that as we mine the asset is getting depleted. If government can run shafts of exhuasted mines, they could as will re-open 14, 18 and 28 shafts in Luanshya. Copper is finishing bane, especially on the copperbelt as we know it. The other shafts at Nkana though still have a long life.
True
I wish Government would say they will conduct an assessment for the viability of the named shafts in terms of safety and profitability before handing them to the locals, otherwise they could be deathtraps