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Mining & Natural Resources
Rough Zambian Amethyst
ing the organizational and ownership structure of the
company. The November 2010 IPO left Vedanta
Resources Holdings with 60% of the new shares of
the company and 15% of the newly issued shares
devoted to ZCCM. The remaining 25% of the shares
of the newly created Konkola Resources Plc were
made available to the public. Konkola Resources Plc
is the new owner of KCM as of this recent IPO.
The company’s primary operations are the mining
and processing of copper from the Nchanga mines
and other assets in Chingola and Konkola copper
mines in Chililabombwe, in addition to the mining
of pyrite from the Nampundwe mine, 40km west of
the capital city, Lusaka. KCM operates smelter and
refinery operations at Kitwe, also located in the Cop-
perbelt.
The assets of Konkola Resources include: the
Konkola underground Mine, Nchanga Underground
Mine, Nchanga Opin Pits, Nchanga Tailings Leach
Plant, Nchanga CRO Project (containing approx.
147.16 million tons of probable mineral reserves,
and the Nchanga Smelter. The Konkola Resources
Plc November 2010 IPO also achieved a premium
listing for the company on the Main Board of the Lon-
don Stock Exchange, and a secondary listing on the
Lusaka Stock Exchange. With the capital generated
from the IPO, KCM, by way of Konkola Resources,
will continue to increase its capital expenditure to
grow operations in Zambia, and better equip the
company to achieve its general corporate strategy.
The IPO was undertaken in hopes to continue to
achieve continued long-term substantial profitabil-
ity, in addition to making a vital contribution to the
Zambian economy, as well as contribute both so-
cially and financially to the wellbeing of the many
thousands of people with whom KCM interacts.
KCM has invested over USD$13 million per year
for various social responsibility activities in the ar-
eas of health, education, local economic develop-
ment and community support, as well as sports and
recreational programmes. KCM accounts for over
one-sixth of the country’s GDP, and contributes to
one-third of the country’s export earnings. KCM has
approximately 10,000 permanent employees, and
has established a small business development unit
that supports former employees in forming small and
medium-sized enterprises (SMEs) as well as provid-
ing them with assistance in conducting business
with the company.
LUMWANA MINING COMPANY LTD.
Adam Wright
Managing Director
Anglo American Building 74 Independence Avenue,
Lusaka