Economy - Copperbelt Katanga Mining

Zambia’s Minister of Mines Declares Glencore’s Exit from Mopani Copper Mines

April 3, 2024April 3, 2024 Constance

The Minister of Mines and Mineral Development, Paul Kabuswe, has announced a significant development in the operations of Mopani Copper Mines (MCM). According to Mr. Kabuswe, Glencore, the Swiss mining and commodity trading giant, has completely disengaged from Mopani following the resolution of a substantial debt issue by International Resources Holdings (IRH). Initially, Glencore was owed a substantial sum amounting to US$1.7 billion. However, through negotiations with the government, this debt was successfully reduced to US$400 million. This negotiation paved the way for Glencore to sever its ties with Mopani,… Read More Here

Mining in Zambia Economy Press Release

FQM COMMITS TO STRENGTHENING LOCAL PROCUREMENT AND CAPACITY BUILDING

March 29, 2024March 29, 2024 Constance

First Quantum Minerals Ltd has reaffirmed its dedication to fostering local economic development through enhanced procurement strategies and supplier capacity building. This commitment was underscored during a visit to the company’s Trident project this week by senior representatives of the Zambia Association of Manufacturers (ZAM). This senior delegation included the ZAM President, Board Members, and the organisation’s CEO.In line with the government’s drive to support local businesses and communities, First Quantum is prioritising local procurement initiatives and actively engaging with local suppliers. “We believe that local procurement is essential for… Read More Here

Mining in Zambia Economy

Zambia’s Inflation Surges to Over Two-Year High Amid Severe Drought

March 28, 2024March 28, 2024 Constance

Zambia’s annual inflation rate has soared to its highest level in over two years due to the country’s worst drought on record, resulting in a sharp increase in food prices. According to acting Statistician General Chola Daka, the consumer price index rose to 13.7% in March, compared to 13.5% the previous month, with prices rising by 1.2% within the month. The spike in inflation was primarily driven by surging prices of bread, cereals, and meat, causing food inflation to jump to 15.6% from 14.1% in the previous month. However, non-food… Read More Here

Mining in Zambia Economy

World Bank Applauds Zambia’s Debt Restructuring Agreement with Bondholders

March 27, 2024March 27, 2024 Constance

The World Bank has lauded the recent agreement between the Zambian Government and bondholders regarding the terms for restructuring Eurobonds, marking a significant step forward in the country’s debt restructuring efforts. This agreement builds upon Zambia’s previous deal with official bilateral creditors in 2023. The Official Creditor Committee has affirmed that the terms meet comparability of treatment requirements and align with the parameters of the Joint World Bank-International Monetary Fund Debt Sustainability Framework. To finalize the debt restructuring process, the World Bank emphasizes the importance of other commercial creditors agreeing… Read More Here

Mining in Zambia Economy

Zambia Nears Debt Resolution with $3 Billion Bond Restructuring

March 27, 2024March 27, 2024 Constance

Zambia announced on Monday a breakthrough agreement with private creditors, restructuring $3 billion of its international bonds, marking a significant milestone in its debt restructuring efforts. President Hakainde Hichilema hailed the agreement as historic, signaling progress in negotiations with Eurobond holders. Zambia’s debt restructuring, facilitated under the Common Framework, has faced significant delays, impacting investments, economic growth, and local financial markets. Despite challenges, Zambia secured a $1.3 billion IMF loan in 2022, contingent on debt restructuring with other creditors. Following the announcement, Zambia’s sovereign bonds saw a rise in value.… Read More Here

Mining in Zambia Copper Economy

Abu Dhabi Firm Eyes Acquisition of Zambia’s Lubambe Copper Mine

March 22, 2024March 22, 2024 Constance1 Comment

An entity of the International Holding Company (IHC), Abu Dhabi’s esteemed corporation, has expressed interest in acquiring Zambia’s Lubambe copper mine, a deal that could potentially complicate the ongoing sale process initiated by China’s JCHX Mining, according to sources familiar with the matter. International Resources Holding (IRH), a subsidiary of IHC, has communicated its interest to EMR Capital, a private equity manager holding an 80% stake in the Lubambe copper project, currently up for sale. This development adds a layer of complexity to the sale process already initiated by JCHX,… Read More Here

Mining in Zambia Economy

Zambia’s Bondholders Enter Talks on $3 Billion Debt Restructuring Proposal

March 22, 2024March 22, 2024 Constance

A consortium of international bondholders in Zambia has initiated discussions with the government after signing a non-disclosure agreement to deliberate on a $3 billion debt restructuring proposal, according to three informed sources on Tuesday. Sources revealed that the government dispatched a formal proposal for debt restructuring to the steering committee of the creditor group last week, signaling the commencement of formal negotiations typically heralded by the signing of a non-disclosure agreement. Zambia’s President Hakainde Hichilema had previously announced in late February that the remaining official creditors, China and India, had… Read More Here

Economy Mining in DRC

The Congolese franc recorded a depreciation of 26.2% in 1 year

March 22, 2024March 22, 2024 Constance

The Congolese Franc, national currency of the Democratic Republic of Congo, is marked by continued depreciation. Data published by the services of the Central Bank of Congo reveal that in one year, between March 2023 and March 2024, the national currency recorded a significant depreciation of around 26.2%. The same situation was also reported on the parallel market where the national currency of the DRC recorded a drop in value of around 16.1% against the US dollar. Furthermore, as of March 15, 2024, the national currency recorded a weekly appreciation… Read More Here

Mining in DRC Economy

CREFDL Report Reveals DRC’s $5 Billion Budget Underperformance in 2023

March 22, 2024March 22, 2024 Constance

In a press release dated Thursday, March 21, 2023, the Center for Research in Public Finance and Local Development (CREFDL) delivered a troubling evaluation of the execution of the 2023 Finance Law in the Democratic Republic of Congo (DRC). The organization highlighted a staggering shortfall of $5 billion in revenues and a budget deficit of $1.2 billion, marking the first deficit since 2011. According to the CREFDL, the government only managed to mobilize $9.8 billion out of the planned $14.8 billion, resulting in a disappointing achievement rate of 65.9%. The… Read More Here

Mining in Zambia Copper Economy

FQM EMPHASISES TRANSPARENCY, SUSTAINABILITY AND ECONOMIC CONTRIBUTIONS

March 22, 2024March 22, 2024 Constance

First Quantum Minerals has highlighted the company’s commitment to transparency, sustainability, and economic contributions as vital to fostering progress in the mining sector. And emphasised the importance of credible corporate communications reflecting real, tangible activities and progress on the ground. Speaking at the Zambia Institute of Public Relations (ZIPRC) 2024 Annual Conference, FQM Trident Senior Public Relations Specialist Miriam Harmon emphasised the mining firm’s ethos that effective communication was key in fostering understanding, collaboration, and progress in the mining industry and the nation at large. The mining firm noted that… Read More Here