The ZCCM IH Board has learnt that Non Ferrous China Africa Corporation (NFCA) Mining on the Copperbelt has not been paying dividends for eleven years to the Government, which is a share holder in the firm.
The Government through ZCCM IH owns shares in NFCA, a Chinese owned mining firm based in Chambishi, Kalulushi District.
Dividend is a sum of money paid regularly every year by a company to its shareholders out of its profits or reserves.
NFCA Africa Mining Plc was established in March 1998 as the holding company of Chambishi Copper Mine as part of the privatization of Zambia Consolidated Copper Mines Limited (ZCCM).
It is majority owned by China Non-ferrous Metals Company Limited (CNMC), which holds an 85% shareholding stake, whilst ZCCM Investments Holdings Plc holds a 15% shareholding stake.
The revelation that NFCA has not been paying dividends to the Government for 11 years came to light when ZCCM IH Board members visited the company on familiarization tour on Wednesday.
ZCCM IH Board Director Bishop John Mambo told NFCA Management to begin paying dividends to the Government starting in the 2021 financial year especially that the company is now recording profits and has a net asset position of over $100 million.
Bishop Mambo said NFCA, who have an investment of over USD 800 million, must increase its production in order to contribute to the country’s copper production target of Three Million Metric Tonnes.
He further called for consistency and timely submission of audited financial statements and the holding of board meetings within three months as stipulated by the company’s Act.
“NFCA with its significant investment of over $800 Million should look to increasing its production in order to contribute to the country’s copper production. The target of the New Dawn Government is 300 Million Metric Tonnes. At the back of this height copper price and an enabling business environment, NFCA share holders should benefit from these dividends. ZCCM IH should be able to attract value from its assets including this company which is NFCA. This include dividends and participation in the mining supply chain of the company despite being the minority ZCCM IH has a right that should be respected by the majority shareholders. There is need for local compliance on the administration side of the business,” Bishop Mambo said.
“Without sound corporate governance ZCCM I H will not maxmise and extract value from its assets which include title of the share in this company. I think the new Government really needs certain things to be done differently but we will respect the investor, you are really doing a great job. We want to see constant in timely submission of audited financial statements and holding of board meetings within the three months as stipulated in the company act. This is a law like in any country you have to follow that law but we look at the minutes and the new board, we see that in two years maybe you just have one meeting so have to ask many how do you run this company? We are very happy to note that the company is now recording profits and has an asset position of over $100 Million we therefore look forward to receiving dividends for the year 2021 financial year,” Bishop Mambo said.
NFCA Chairman Xu Helin said the firm experienced the impact of low copper price in 2014 and 2015 on Zambian mining industry coupled with the effects of Covid-19 in 2020.
Mr Helin, however, said the firm has adopted an advanced mining and mineral processing technology with good safety performance in order to build a digital benchmark mine in Africa and explore a new path for Zambia’s mining development.
Speaking through an interpreter, Mr Helin also talked about his company’s commitment to building a green and environmentally friendly mine.
My my don’t we have capable people to run the board? Did we have to go to the archives to bring out relics to run our companies. When we complain we are called PF. Let me check if this man is on the list of proposed appointments by certain female chief.
I DIDN’T KNOW THE BISHOP IS A BOARD DIRECTOR OF ZCCM-IH.
WHEN DID HE BECAME SUCH ??
INDEED BALLY MUNTU WESU.
Kikikiki…..Ba board member…..Awe sure!
Matter meant for the board meeting……….
Wapya baisa ba board member kikkkiki!!! Old people’s Empowerment .
What happened to all those young and intelligent men and women from Cavedish, UNZA, Lusaka University, CBU , Copperbelt university and Mulungushi. Are we short or human resource to serve on these boards?
Unfortunately the Pentecost Church doesn’t have a structure to train and ordain it’s priests. Anyone can be a Bishop and unfortunately I don’t John Mambo qualifies to be a director of any Board. This is what’s bringing Zambia down. I’ve no doubt that he was rewarded to the noise he was making against ECL. There are many vibrant and capable young men and women that can add value by holding such positions. If John has retired from priesthood then he doesn’t really qualify to be at ZCCM-IH
This is certainly not the way ZCCM-IH as shareholder in NFCA should make its demands for dividends.
Also, if NFCA has not been paying dividends for 11 years, why does ZCCM-IH only want payment from 2021?
I don’t know whether it’s poor reporting or arrogance of NFCA Chairman Xu Helin, but I notice that he has NOT even commented to ZCCM IH Board request to start paying dividends, all he does is to complain about what happened in 2014-2015, and talks about new technology.
If he got away with such behavior in front of the board, I doubt the request to pay dividend will be fulfilled.
Secondly, for 11 years, what was the preious boards doing, that now suddenly they are waking up to find out they were not being paid. So there completely no oversight? vERY STRANGE.
This so called Bishop was anti Govt during the PF’s time. Instead of offering credible advise, he used to attack them, least he begins to attack UPND, Bally is right to hide him in some Board somewhere kikikikikiki. But it shouldnt have been in such an important sector.
“Bishop John Mambo told NFCA Management to begin paying dividends to the Government starting in the 2021 financial year especially that the company is now recording profits and has a net asset position of over $100 million.”
How is this man a board Director ..really laughable….he will be making noise everyday, he says the company hasn’t been paying dividends despite operating for 10 years but only mentions 2021 ….this is not how you do it? Give us the numbers …these companies sadly will always declare losses there are ways round this and its not making noise like you are on the outside.
Remit dividends or pack and go
Eleven years? So, that includes the entire time that PF was in power, and they never noticed this? Imagine if they were on the take to look the other way, all the while the Zambian people pay the price. Incompetent or corrupt. You choose.
So, which Zambian was sitting on the board and not reading the annual accounts?
the i.diots who criticize Bishop Mambo either you know nothing about the mining sector so shut up or you are accomplices of the shady PF regime that let the mining companies plunder Zed so hold your corrupt leaders accountable instead
This is the reason why foreign companies get away with exploitation in Zambia. There’s lack of proper accountability. This company has not been paying dividends to the government for the past 11 years, and yet this guy Mambo just wants to hold them accountable for 2021? What kind of nonsense is this? This evasive company must be made to pay all the dividends they owe for the past 11 years, with interest. That’s why foreigners don’t respect Africans. This company knows they can’t get away with this in a Western country. Please find competent people that can hold these shady foreign companies accountable.
So Bishop Mambo the conman is a board member ka! For sure shouting against the ruling party pays in Zambia. I have known the good bishop from the time he moved from Chaisa and started renting a house in Vubwi Road, Emmasdale. Which successful company or organisation has the good “bishop” run for him to sit on the board and what does he understand about dividends? Zambia will not develop as long as appointments are based on how much you shouted against the outgoing government. This one appointment by HH was a missed opportunity.
I have read bout all the good investment that nfca has done or is doing what is supprising to me is none of you guys even talked bout the employees well being and conditions of service.
Iet me bring you up to speed crafts men diploma holders and degree holders are under paid at nfca because of luck of employment else where. Its an everyday cry for help but its seems the cries falls on deaf ears or greed and selfish leaders in this country its pathetic.people need to feed their familys people are constantly exposed to siliker and with your bull reforms you dont care how ……what type of leaders are you
They couldn’t pay dividends to grz coffers because that money was being used to pay bribes into individuals pockets or funding the party so it was always showing losses.
only former PF Board directors know…
It was educated *****s like Pius Kasolo who allowed this kind of stupidity because these Chinese were giving him back handers. It show’s Sta’s bribally bigoted appointments that favoured only Bisas killed the country, even people like John Mambo can see that something is amiss here.
If Bishop Mambo makes noise everyday for NFCA Chinese copper mine to begin to pay dividends and do pay, so be it. than non performing ministers.
Nifunseko sure, can’t we do better with these appointments?
A retired bishop running ZCCM-IH board?
What expertise does he have in running mines?
Then your hear visionless morally bankrupt Zambians burping their ignorance for all to hear ati, “ALLOW MINING IN THE LOWER ZAMBEZI”
The results will be the same, huge holes in the ground, massive pollution & environmental degradation, whilst all our minerals stolen, enriching those foreigners, who keep screaming “We are NOT making any profits”.
The “infestors” will then keep greasing the palms of the corrupt politically connected, keeping us perpetually poor & laughing, saying “Africans can’t look after themse!ves”
This story above is the reason Zambia should say “NO TO MINING IN THE LOWER ZAMBEZI”.
Then y0ur hear visi0nless m0rally b4nkrupt Zambians burping their ign0rance for all to hear ati, “ALL0W MINING IN THE L0WER Z4MBEZI”
The results will be the same, huge h0les in the gr0und, m@ssive p0llution & envir0nmental degradation, whilst all our minerals st0len, enriching those f0reigners, who keep screaming “We are N0T making any pr0fits”.
The “infest0rs” will then keep greasing the p@lms of the c0rrupt p0litically c0nnected, keeping us perpetually p0or & laughing, saying “Africans can’t lo0k after themse!ves”
This st0ry above is the reason Zambia should say “N0 T0 MINING IN THE L0WER ZAMBEZ1”.