“Mopani takeover” Just what Zambia needed – Civil Society Organisations

GOVERNMENT’S decision to take over operations of Mopani Copper Mines (MCM) demonstrates its commitment to safeguarding 15,000 jobs which could have been lost had the mining firm remained in private hands.

A consortium of civil society organisations (CSOs), in welcoming Government’s 100 percent shareholding in MCM, says mines should contribute more tocommunities in which they operate.

Last week, Government, through Zambia Consolidated Copper Mines-Investment Holding (ZCCM-IH), took over operations of MCM from the majority shareholder, Glencore of Switzerland.

This has cheered the CSOs, which include PeacefulElections Zambia (PEZ), Faith Foundation for Persons with Disabilities, Hope for the Elderly Foundation, Luyando
Community Society and Save the Future.

Speaking at a press briefing yesterday, PEZ spokesperson Njani Michelo said when mines were being run by Government, Copperbel towns benefited significantly
through infrastructure development.

Mr Michelo said with the mines in private hands, communities have not benefited as much.

“It is for this reason that we must commend Government, and President Edgar Lungu in particular, for taking a firm action of taking ownership of Mopani Copper Mines,” he said.

Mr Michelo regrets thatsome citizens are politicising the takeover of Mopani for political mileage.

He advised those who are in the habit of frustrating Government’s efforts to improve the economy to stop doing so if they love the country.

Kitwe District Chamber of Commerce president Anthony Kabaghe said in a statement that it is high time Zambians took up the mantle of running mines.

Mr Kabaghe, however, said that MCM should be managed as a business entity and not as a panacea [solution] for social challenges.

And Ministry of Mines and Minerals Development Permanent Secretary Barnaby Mulenga says MCM has over US$18 billion worth of copper which will enable ZCCM-IH to pay Glencore US$1.5 billion for the shares among other expenses.

Mr Mulenga said MCM has about 200 million metric tonnes of copper awaiting extraction.

He said this when he featured on the Sunday Interview programme on Zambia National Broadcasting Corporation (ZNBC).

Mr Mulenga said an analysis done at the mine indicates that MCM is able to pay off the US$1.5 billion to Glencore once it [mine] is fully operational.

“Glencore pumped US$1.2 billion in Mopani and invested in state–of- the-art equipment whose installation is yet to be completed.

“Glencore was able to produce 34,000 tonnes of copper last year using the machines that have already been installed. Its projection was to increase production to 150,000 annually,” he said.

Mr Mulenga said ZCCM-IH has many options through which to settle dues to Glencore.
One of the ways is for ZCCM-IH to find a partner who can invest US$300 million in the mine to enable it reach to its target of producing 150,000 metric tonnes of copper per year.

Another option is for ZCCM-IH to find an equity partner to buy between 30 and 40 percent of shares at US$2 billion. Fuel shortage end in sight.

source ：Zambia Daily Mail