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Mining & Natural Resources
ing companies operating in Zambia list their shares
on the Lusaka Stock Exchange (LuSE); companies
work closely with the Citizens’ Economic Empower-
ment Commission (CEEC) so as to maximize ben-
efits to Zambians though targeted joint ventures;
local communities benefit though a high level of cor-
porate social responsibility; and mining companies
promote further training of employees both at home
and abroad.
The Government of Zambia also occupies a strate-
gic shareholder position in the majority of Zambia’s
mining operations through ZCCM-Investment Hold-
ings (ZCCM-IH).
The Ministry’s Headquarters are located on the 12th
and 14th floors, of the New Government Complex,
Kamwala Nassar Rd. (behind the Freedom Statue)
in Lusaka. The Ministry of Mines and Natural Re-
sources is very approachable and an excellent
source of information.
MININGOPERATIONS&DEVELOPMENTS
The established large-scale (copper and cobalt)
Mining industry in Zambia forms the backbone of the
Zambian economy and has been the most important
driver of the country’s impressive economic growth
over the past 5 years. Existing prospecting licences
and new applications encompass roughly 50% of the
Zambian land mass. World-renowned mining com-
panies are involved in mining and prospecting op-
erations on the Copperbelt as well as in the Central,
Western and Northwestern provinces.
FirstQuantumKansanshiMainPit
According to the Government’s Central Statistical
Office copper currently accounts for over 80% of
Zambia’s total exports. The sector is responsible
for the direct and indirect employment of well over
60,000 Zambians, as well as very significant new in-
frastructure developments across the country.
The Chamber of Mines of Zambia recently reported
that foreign direct investment (FDI) by international
mining companies was well over US$850 million
in both 2007 and 2008 before reducing markedly in
2009. However, FDI is on the rise again and will hope-
fully reach and exceed these previous levels in 2011.
Konkola Copper Mines (KCM) is one of the largest
mining and processing companies in Zambia. KCM
owns and operates the Konkola, Nchanga and Nam-
pundwe mines as well as the Nkana smelter. They
have recently completed several expansion pro-
grammes in Zambia, the two main ones being the
Konkola Deep Mining Project and the construction of
the new Nchanga smelter.
The US$400 million Konkola Deep Mining Project
(KDMP), which has sunk existing shafts down to
1,490 metres to access high grade copper ore be-
low current production levels and also is involved in
the construction of a new concentrator. Production of
copper ore from Konkola is planned to increase from
2 million tonnes to 7.5 million tonnes per year, while
simultaneously the life of the mine is being extended
by another 20 years at least.
KCM have also recently completed the US$300
million construction of the new Nchanga smelter
(planned capacity 300,000 tonnes per annum) that
also includes a new acid plant (capacity 1,850 tonnes
per day), which is used at Nchanga’s Tailing’s Leach
Plant. The smelter will treat, not only, increased pro-
duction from Konkola but also concentrates from
other mines in Zambia. Finished copper production
at KCM’s combined operations was 41,958 tonnes
for the 3rd quarter of the 2010 financial year.