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Tuesday, 25 September 2012

Mining Watch (Various)

A unit of China Nonferrous Mining Corp has won ZEMA approval to build a $832 million copper mine that will add 60,000 tonnes to the country's annual output of the metal. This is part of NFC's South East Ore Body Project.

Caledonia Mining Corporation has been told by the Government it must meet a number of conditions in order to continue holding the mining licence covering the company’s Nama base metals project. According to a letter from the Ministry of Mines the company is currently not complying with certain requirements governing the licences it holds. It has been asked to give a written assurance it will remedy the situation.

Government plans to create the small-scale miners’ revolving fund to foster active involvement of ordinary Zambians in mining. According to Mines Deputy Minister Richard Musukwa the revolving fund is expected to be up and running by the end of this year. The idea seems interesting but it is lacking in details. Presumably this would be funded from ZCCM-IH funds rather than tax payers. It would be a tragedy for ordinary Zambians who pay more tax than mining companies to then end up funding yet more investment in the same sector sector.

3 comments:

  1. ZEMA contains no information whatsoever of an EMP/EIS approval for the China NFC copper project; like so many mining projects that have been ushered in under the Government radar. Where is Caledonia's EMP ? Where the Kangaluwi project which they rejected recently. Why does the Ministry of Mines not enforce its own 2008 Mines and Minerals Development Act?

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  2. I refer to the empty ZEMA website

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  3. "Presumably this would be funded from ZCCM-IH funds rather than tax payers."

    ----

    WITH WHAT MONEY ???

    In 2011, ZCCM-ih got $167m from the sale of 2.28 per cent stake in Equinox Minerals but had to finance equity contribution to in its 15% Konkola North Copper (Konnoco) project, disbursed a shareholder loan to facilitate the recapitalisation programme for its 100 per cent owned Ndola Lime Company to help lower unit costs of production and strengthen production capacity, invested in Maamba Collieries Limited as an equity contribution in order to maintain the equity shareholding, made a part payment of US $55 million towards pre-privatisation loans to the government

    ZCCM-ih still owes state $395 million and has environmental obligations and liabilities (around US$80 million)

    staff salaries : $11 million annually

    But in the same time, ZCCM-ih received only crumbs (about US $20 million) in dividends from four of the over eight foreign owned mines it holds a stake in.

    FQM still owes ZCCM-ih $500 million but pays NO INTEREST and uses this money to invest in others projects in which zccm-ih has no stake (eg Sentinel) !!!

    Glencore has misappropriated at least $300 million from Mopani as zccm-ih equity between 2003 and 2008. Why the PF govt is so lenient ??

    $100 million were swindled from zccm but nothing was done to recover the money since 2007

    ZCCM-ih has licence for oil and gas but has no money to begin explorations... and Minister of Mines Yamfwa Mukanga has threatened to revoke exploration licences issued to firms interested to explore oil and gas as they have not commenced any works.

    the corrupt rupiah’s govt was bought and paid for by foreign mining companies to get rid of zccm-ih but why the PF govt doesn’t apply pressure to those looters and doesn’t help zccm-ih to get back on its feet ?? WHY ???

    the former govt was rotten to the core and the PF one misses the plot...

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