Zambia Advances Mining Reforms to Boost Copper Production to 3 Million Metric Tonnes by 2031

Zambia is advancing two mining reform bills aimed at transforming its mining sector and quadrupling copper production from the current 800,000 metric tonnes to 3 million metric tonnes annually by 2031.

The Mining Regulations Commission Bill and the Geological and Minerals Development Bill will replace the Mines and Minerals Development Act of 2015, pending parliamentary approval and presidential assent following a multi-stakeholder consultation process.

Chaanza Chifwepa, Principal Exploration Geologist at the Ministry of Mines and Minerals Development, explained during The Mining Show in Dubai that the reforms are designed to enhance transparency, attract investment, and enforce compliance across the sector.

• Mining Regulations Commission Bill: Focused on regulating the sector, ensuring compliance, and safeguarding investments.
• Geological and Minerals Development Bill: Addresses policy improvements and fosters a favorable investment environment.

The Ministry is restructuring to include an Investment Promotion Department, which will collaborate with a newly established Special Purpose Vehicle (SPV) to facilitate public-private partnerships (PPPs) in mining projects, starting at the exploration phase.

Chifwepa highlighted that certain areas have been designated for government-led investment in collaboration with private partners under the PPP model.

Measures are also being introduced to address speculative holding of licenses, with non-compliant permits being canceled and reallocated through competitive bidding.

Last month, over 40 critical mineral permits reserved by the Ministry were reportedly transferred to the SPV to negotiate agreements with private sector partners, according to Bloomberg.

To further bolster its mining sector, Zambia has launched a Country-wide High-Resolution Aerial Geophysical Survey (CHRAGS) at an estimated cost of $100 million.

The initiative, which began in July 2023, aims to map the country’s resource potential and attract private sector investment. The survey is expected to conclude by 2026, potentially accelerating the discovery and exploitation of new mineral deposits.

These reforms reflect Zambia’s strategic efforts to position itself as a global leader in copper production while fostering sustainable economic growth and investment in its mining sector.

SOURCE:zawya.com