Konkola Copper Mines Plc (KCM) has said that is has not yet received any information formal communication from the Government of Zambia, in particular, the Head of State President Edgar Lungu or the Minister of Mines Mr Richard Musukwa on the decision regarding the future of KCM.
In a statement released to the media , the company said that it has made urgent effort to to seek a meeting with the President and the Minister of Mines, but have not been successful.
Over the weekend, President Edgar Lungu announced that Government will disengage with KCM saying he would not allow Zambia to be blackmailed or arm twisted by mining investors as the country was still ripe for investment.
He said Government had resolved to part with KCM and would invoke the legal process to that effect.
The President assured that Government would follow the due process of the law in disengaging with the KCM investor, Vedanta Resources.
“We have been taken for a ride by some of these investors. So I am here to announce that Government is divorcing KCM,” President Lungu said.
And Mines Minister called on KCM Workers and all Zambians to be Vigilant, to Protect the company Assets. Mr Musukwa told the media on the need for Konkola Copper Mines employees and all Zambians, considering “the current situation”, to be vigilant and protect the Assets at the mining Firm.
“For a long time now, as a survival plan, the mining house has been involved in the process of selling some scrap and equipment. We got a report from our people on the grou. And to that effect, arising from this situation, we are calling on the workers and our people to remain vigilant and ensure that such activities with this situation, must NOT be entertained,” said Mr Musukwa.
Konkola Copper Mines (KCM) is one of Zambia’s largest copper producers, with mining operations in Chingola, Chililabombwe, Kitwe and Nampundwe. KCM is a subsidiary of Vedanta Resources plc (“Vedanta”). The Zambian state-owned ZCCM-IH holds a significant shareholding (20.6%) in KCM also. Since 2004, KCM has invested more than $3billion to upgrade and expand company assets. Today it is of the largest private sector employers in the country and maintains one of the most comprehensive corporate social investment programmes
Below is the full Statement from KCM
Konkola Copper Mines Statement
Chingola, 20 May 2019: Konkola Copper Mines Plc (KCM) is aware of media reports, quoting the President of Zambia, Mr. Edgar Chagwa Lungu, in respect of a decision regarding the future of KCM.
KCM is yet to receive formal communication from the Government of Zambia on this, although it has sought an urgent meeting with the President and/or the Minister of Mines.
The intention of KCM and its primary shareholder, Vedanta, is to continue to engage with the Government in a constructive and transparent manner. The Government, through ZCCM-IH, is a direct and critical shareholder of KCM and its representatives who are on the KCM Board are fully apprised of and are party to the circumstances of the company and major decisions that have been taken.
Vedanta is a long-standing investor in KCM and in Zambia, having invested over US$3 billion since the acquisition of this asset. The company employs nearly 13,000 people at its sites and operates clinics, hospitals and schools through its corporate social responsibility programme that amounts to over $210 million since 2004. The company is yet to receive a positive return on this investment while, on the other hand, taxes, duties, fuel and power costs have risen exponentially among other issues, thereby placing an enormous and unaffordable burden on the company. The most recent restrictions and duty on concentrates has negatively impacted the running of the smelter and the much needed acid to run its operations. KCM has contributed over $1.4 billion to the Zambian Exchequer since acquisition and continues to be the leading Pay as You Earn contributor in the country.
KCM is seeking to meet with the Government as a matter of urgency to discuss the future of KCM and the impact that the current onerous situation is having on the company, the people of the Copperbelt and the Zambian people as a whole.
Eugene Chungu
General Manager, Corporate Affairs.
What did we tell you about that hot air LAZY LUNGU was blowing at the airport tarmac…not even his former Primary school teacher Mines Minister Mr Richard Musukwa have spoken to them.
So what exactly did this lazy corrupt president do on the Copperbelt?
Every time we think Lungu and PF can not sink any lower, they surprise us.
These politicians are playing with people’s lives.
There’s no point meeting with them. The AG will soon announce the legal road map to finally say goodbye.
The President did not go to the copperbelt to negotiate or engage KCM. He actually made it very clear that he was tired of empty promises from those Indian crooks. The government is only looking at legal processes to be followed in divorcing KCM. So I don’t understand what more some of you economic refugees expected the President to do. You wanted him to engage KCM for more lies? There is no turning back, Vedanta is gone.
OVAL…. With all due respect you are a simpleton, let you dull President Lazy continue to make reckless incoherent statements at airport tarmac instead at Press conferences you will see the Kwacha falling.
Please our dear president ba Edgar Lungu, do not condone aba bamwenye ba kcm. And please move swiftly to repossess our mine before they strip it completely.
What kind of darkness are they in, when the humble masquerade angel of light and Chief Christian without any trace of lies claims to have gone to the Copperbelt to let his light shine at KCM? Did he use koloboi instead? Kikikikikikiki.
Indians should not be tolerated. Idi Amin showed us how to deal with them. They even hide behind the name of a Zambian called Chungu. Ba copala, what are you waiting for? Go in and kick these hot chill eating thieves out of the KCM premises
This is still a Kaponya Government, you would think after almost 10 years in power , they would have matured. Alas , NOOO . You seat on the board of your company and you go to your Kaponyas and make an earth shattering announcement and your fellow board members have no clue about it. This is Politicking by Lungu gone to far
Too late ba KCM. We have already decided. Just pack your bags and leave the keys to the plant with Security guards. We have taken what belongs to us?
kabu – Zambians like you loved to be lied to like fooooooools with such rhetoric….you have MUZ who are suppliers of the mines yet they also represent workers and President and his ministers who are forever having closed door meetings with Mining executives. FQM owned ZRA $7 billion dollars but that story has disappeared, there was a story of FQM being sued and offering to buy shares …Aunty Maggie Dizzy stated that its on the table and they are weighing up options but to date nothing has been announced…do you honestly think LAZY LUNGU is capable of doing anything right.
These Corrupt P.F drunks are seriously de -campaigning themselves.
Every day news of lies, incompetence, Corruption, being Drunk on duty, violence & intolerance, sharing P02NO on WhatsApp, all whilst, proclaiming via that waste of resources Ministry shepherded by “The Holy Mother (God)Fridah”, “WE ARE A CHRISTIAN NATION”!!
As well as more scandal & “allegations” doing the rounds, that one well known notorious State House advisor, who should really be a Boxing promoter, has struck again!
THE BRUTE IS AT IT AGAIN, having assaulted a Citizen @ a Ndola Hotel.
We know Chakolwa will NOT act as he needs these Brutes next to him to advise how to assault members of the opposition, & those with opposing views to corrupt P.F
NI MA SCANDAL DAILY, WHILST THE NATION SINKS & BECOMES A GHETTO PIT LATRINE!
Animal farm – The cleaver lawyer and respected teacher will do what they know best. Is it to fix it up or mess it up? Those with ears will listen, those with eyes will see, those with noses will smell (maybe a rat!!)
Animal farm – The clever lawyer and respected teacher will do what they know best. Is it to fix it up or mess it up? Those with ears will listen, those with eyes will see, those with noses will smell (maybe a rat!!)
So this means the government neve enganged anyone in Copperbelt? So what was the reason for travel?
Kambwili should go and Shout at those indians working KCM. It is nonsense that we allow Indian Accountants when we have a lot of our own trained ZICA & ACCA qualified graduates.
Why so you can arrest him because you yourselves are docile yellow bellied cowards
The Government said they will follow the due process of the law, so you will be notified in due course as they are preparing the documents lawfully.
TWANAKA NENU.
Tell that to chaps like lazy Jay Jay and IndigoTyrol who just read the headline and start insulting without reading the whole article
What legal documents are they preparing?A “Nolle”
So they started on Friday to look into it…really laughable…you are really gullible docile creatures!!
What did I say about this thieving debarred drunk, the chap is just dull… he can never do any thing material, apart from drinking…. This kaponya govt is really chipante pante
This crop of Indians are a disappointment. However, having lived with many Indians for a long time now I understand. When it comes to money most Indians are not honest, whether they put on robes or British suits. If we declared Sharia now and moved into Freedom Way and Kamwala I wonder how many will come out with both hands. The Hindu are the worst abusers of our people. When you see what some Indians do to their workers, the Chinese and Lebanese look like saints. Most Indians only want to make money without paying for anything, not even salaries. Mwanawasa was warned about Vedanta but he didn’t want to listen. Hichilema must also shut up because his sponsors abandoned the mine after their candidate Mazoka lost.
I am very happy you have mentioned the late President (MHSRIP). It was a strange decision to award such a strategic asset to Vedanta. India has never been known for mining technology.
As for investments and tax compliance, it is well known how stingy these people are. Remember in KKs time how he used to change the currency just to force them put money in the banks.
Please let’s look at how the Government in Chile runs the mines!
How would you call it a strange decision how was Jaguar Landrover sold to TATA??? It’s about who has the money and ready to take the risk …Besides it’s very narrow thinking to believe that
The owner boasts of reaping $500 million in profits annually while his Zambian General Manager for Corporate affairs says KCM is yet to receive a positive return on their investment since 2004!! Is this why you have resorted to selling scrap metal instead of mining? Indians cannot do mining, let them concentrate on selling chitenge materials at Kamwala.
Apa tenant sazaitamba bwino kuti daily ango soka landlord ndalama ni story.
Eugene Chungu is just dancing to the gallery of his masters trying by all means to keep his job.
Indians are not really miners their business is trading. There was a big milling company in ndola called swarp spinning mills it went under the sooner the Indians started running it. Zambian s are better miners and can run this mines just like they did for almost 20 yrs until the short man in the name of Chiluba decided to destroy just because Dr. Kaunda created ZCCM.
Investors do not like uncertainty, unfortunately, PF does not understand this.
Imagine you a Head of State can not go start hallucinating like a mad man on the airport tarmac to dull cadres that you are taking over a mine and think the markets wont pick up on this…then end up not even meeting KCM but sit in the Guest House drinking like a teenager whole weekend.
That’s because investors to you means foreigners
Are you going to give magie.el another 5yrs. What will they do which is different from past 7yrs apart from drinking together and playing snooker on duty
KCM, story did not start yesterday, we have our brothers who have already lost Jobs, even after been assured by government that no one will be retrenched. Why should the authorities move in when the opposition President blows the trumpent.
To the ***** talking out of his arsehole about chili eating Indians etc desist from this nonsense. Do you know how to “dig” the minerals out of the ground? Do not think the Chinese could do better?Next time vote with your brains – if you have any – not with a mosi in your hole. What a fool.
kiki lungu is scared to face them . this is what happens when you steal ideas from wise men like HH without having an idea of how to implement that idea. For all he knows maybe this was a trap by our HH to mislead ka lungu.. ubututu. If lungu had brains he would be requesting a meeting with HH to seek advice and help on the best way to approach this situation. HH is an experience business man and negotiator on top of been a formidable politician. There is wisdom around lungu but he continues to associate himself with savages and empty tins like kaizer zulu. VERY SAD!
HH promised to bring back Anglo American Corporation(AAC) if voted into power, yet Anglo was BUSY offloading copper mines to concentrate on diamonds. Will it be wrong to classify HH as a liar? is that the fellow you want to lead the country?
Why would you do this, Mr. President? Have you got your ducks, in a row? They will ask for compensation, which the country will not be able to pay? What were the Zambian Government representatives on the Board doing? What was ZRA doing? Remember, it will be compensation for investment done, loss of revenue, interest etc. It is better to call them in and share your grievances and how you can have a win-win situation.
you have always been in the dark, clueless I***diots
The problem is Zambian government which seem not to have concrete direction and no proper facts but depends on hearsay. Look at hopeless state companies which bring in no money, but depends on tax payer’s money. Have you wondered why more than 31 state companies are loss making companies? To say Indians cannot operate mines is just a fantasy- Zambians attend universities in India, we buy equipment, medicines from India. Do not blame Indians for corruptions. Blame government workers who accept bribes. Corruption is everywhere. So, is the minister of mines going to give jobs to those who work for KCM immediately after chasing KCM? Tantrums are not solutions to problems.
The best comment I have read so far.
The question of a bird trying to take off after its wings have been clipped. or pulling rank after you have been demoted, how do you announce the divorce of your wife whom you have left at home to your relative without talking to her first.
Mr. Eugene Chungu must be reminded that Zambians are well informed on the trickery of the GUPTA family in South Africa. Eugene Chungu is merely parroting as chola-boy and stooge of the Company that has mismanaged Konkola Copper Mines in Zambia – exhibiting clear resemblance to deceitful business style of Guptas in South Africa. It is high time that Zambia seriously reviewed, but preferably divorced this Indian Company from the Copperbelt and Zambia as a whole. Chungu is best advised to shut up so as to position himself for a fresh job in Mines when Vedanta Resources plc enventually exit out of Zambia.
This is because govt is losing popularity on the copperbelt. The broom should sweep all corners as there are Chinese companies building roads today and tomorrow it is washed away. Including govt corrupt officials.