Posts Tagged ‘ZCCM’

ZAMBIAN GOVERNMENT IRRESPONSIBLE OVER WINDFALL TAX – BOB SICHINGA

Monday, February 28th, 2011

By Zambia News Features Correspondent

A Zambian business and political consultant has questioned what is difficult for mining companies to pay windfall tax when copper prices are at their highest.

The consultant, Robert Sichinga in an email in reaction to a recent publication that exposed the alleged tax evasion of Mopani Copper Mines recently, said Zambia Consolidated Copper Mines (ZCCM) which was the state-owned mining conglomerate before privatisation in the 1990s, used to pay six per cent mineral royalty tax when copper prices were around US$1700/1800.

“If the mining companies felt that the government would query them, they would dare not do this.  ZCCM used to pay six per cent mineral royalty tax when copper prices were around $1700/1800. So what is difficult for mining companies today to pay Windfall Tax when prices are at the highest ever,” Sichinga said in the email.
He charged that this was a case of the MMD government not caring or being concerned, adding, “frankly the argument that investors will leave is as flawed as it is unreasonable.”
He said his view was that people remove the “irresponsible” MMD government and that all advice by people like him had fallen on deaf ears.

“We can’t go on like this indefinitely,” Sichinga concluded.

Meanwhile, Ndola-based NGO has predicted a landslide victory for the ruling MMD government in this year’s general elections because of the developments that have been made across all the nine provinces of the country.

The little-known Copperbelt Welfare and Environmental Protection Association, through its spokesperson, Lastone Muzyamba, said in a statement made available to Zambia News Features  that also confident that the MMD party would come out stronger after its national convention scheduled for Kabwe in the next few weeks.

Muzyamba said government had taken development to all parts of Zambia for everyone to see.

“We are perfectly sure that the MMD as a party will emerge stronger from the MMD national convention because of the unity that President Rupiah Banda has instilled in the party. When President Banda says he is a president for all Zambians, it is clearly meaningful because he has proved to be a uniting factor in the party and the country at large,” Muzyamba said.

(Contact us on editor@zambianewsfeatures.com)

KONKOLA DEEP FINALLY STARTS COPPER PRODUCTION

Sunday, April 11th, 2010

By A Correspondent

The long awaited Konkola Deep Mining Project (KDMP) which has been on the cards for over 15 years, will start processing copper in the next few days, according to Konkola Copper Mines general manager Raj Kulkarni.
Mr Kulkarni told journalists in the mining town of Chililabombwe, about 480 km north-west of Lusaka, Zambia, that it would start to deliver raw materials from KDMP to its concentrator in the next 10-15 days for processing.
KCM is a subsidiary of London-listed Vedanta Resources Plc and is Zambia’s largest copper producer
The KDMP, one of the company’s 1.6 billion (USD) group of projects, will help boost total copper production to 500,000 tonnes next year from around 300,000 tonnes in 2010 and will extend the mine’s life by 23 years.
Mr Kulkarni said KDPM, which involves deepening one of the shafts to 1,460 metres (4,790 ft), together with other expansion projects, is forecast to produce 200,000 tonnes of copper per year when Konkola mine reaches maximum output.
“This winder is now going to add the hoisting capacity to the existing mining installations by about 4 million tones of rock per year, out of which about 1.2 million tones will be devoted to waste and the rest can be ore. So, let us say about 3 million tones of ore hoisting capacity has been added to the mine on top of what exists now,” Mr Kulkarni said.
Grineker LTA Mining underground manager Freddie Durand, whose company is sinking the new shafts, said the shaft had reached 1,140 metres and would get to the 1,460 level in 2012.
“Grineker is going to get to the bottom of the shafts. We’re planning to start again on our first blast on the 15th of April of 2010 and then we are going all the way to the shaft bottom. That will be the bottom job loading system,” said Durand.
KCM operates the Konkola copper mine, the satellite Fiotwaula mine and the Nampundwe pyrite mine, west of Lusaka.
It has also started reclaiming refractory ores at the Nchanga open pit to produce more copper.
Before it was privatised, KCM was part of the bigger Zambia Consolidated Copper Mines (ZCCM) conglomerate before it was broken down to various units including the Mopani Copper Mines and Chinese Non-Ferrous Company.