Shareholders in ZCCM-IH have overwhelmingly supported its acquisition of a 90% stake in Mopani Copper Mines (MCM).
Glencore agreed the sale of its majority stake in Mopani to ZCCM-IH in a $1.5 billion deal, the miner and trader said in January.
ZCCM-IH said in a statement that the extraordinary general meeting vote on the resolution was the last condition towards the completion of the transaction and ZCCM-IH now holds 100% ownership of Mopani.
The deal is funded by borrowings from Carlisa Investments Corp – a British Virgin Islands-based company through which Glencore holds its stake – and other members of the Glencore group.
ZCCM-IH Chief Executive Mabvuto Chipata said with increased ownership, ZCCM-IH would now be an active participant in the global industry as copper becomes a critical metal.
“Mopani will repay the remaining debt of $1.5 billion from its own cashflows and the repayment is expected to happen well within the remaining life of mine,” Mr. Chipata said.
ZCCM-IH has said it expects to find a new investor for Mopani by the end of the year as it looks to boost copper output from a little more than 34,000 tonnes to 150,000 tonnes.
Glencore said in a separate statement it would continue to retain offtake rights in respect of Mopani’s production.
“The Board is pleased to confirm that all the Conditions Precedent to the Transaction have now been satisfied, allowing for the completion of the Transaction on 31 March 2021. ZCCM-IH is now the holder of 100% of the issued shares in Mopani, transforming the Company from an investment company to owning and operating a multi-billion-dollar mining asset in Zambia. The Board looks forward to providing Shareholders with further updates on Mopani in the coming months,” the statement read.
ZCCM-IH is notably a Zambian government vehicle. But everybody knows that it’s financed by the Chinese. So once again the PF government has SOLD OUT the Zambian resources, and we get NOTHING in return. I bet champagne was going round in Beijing and the Chinese embassy in Lusaka! What an embarrassment!
Who are the shareholders in zccm-ih?
Well done Zambia. Let’s put aside politics and work towards the development of our country Zambia. Let’s not doubt our ability to run MCM because we are well able. For instance, Zambians MCM employees have been running the mine since the termination of contracts of contractors like REDPATH ZIPRO. These companies made MCM unprofitable. South Africa is known for GOLD and there is a correlation between RAND and GOLD. Unfortunately there is no Correlation between Copper and Kwacha hence Copper is going Up kwacha is going down. If we can control mines like MCM at this rate the price of copper is trending, we can be able to improve our Forex. Yes there is debt $1.5billion and it’s also important to note that majority of worlds companies say 500 global fortunes have got debts. ZCCM IH must…
We getting control of our resources back, after the betrayal of hh who sold our mines for peanuts to his masters.
Happy Easter my patriotic Zambians. As we speak my beautiful wlfe is busy preparing a good feast in the kitchen while I drink with my f00lish friends. Life is good
ZCCM-IH has said it expects to find a new investor for Mopani by the end of the year as it looks to boost copper output from a little more than 34,000 tonnes to 150,000 tonnes. why looking for a new investor, what’s the point of acquiring 90% stake if its to be sold withing a year?
EXACTLY THIS IS HOW THE GOVERNMENT WORKS
WITH SMOKE AND MIRRORS AND NEVER EVER STRAIGHT TO THE POINT !!
SOMEONE PLEASE EXPLAIN WHY 90% OF THE PARASTATALS FAILED ?? AND WHY THE MINES WERE SOLD OFF ? WAS IT BECAUSE
ZCCM WAS RUNNING THEM PROPERLY ? OR BECAUSE THEY WERE DRIVEN INTO THE GROUND BY fRANCIS KUNDA AND HIS COHORTS
IT APPEARS WE HAVE SHORT MEMORIES !!! SOME ID1OT SAYS WE SOLD FOR PEANUTS ??? REALLY ?? WHO WOULD WANT TO BUY ANYTHING THAT WAS A COMPLETE SHAMBLES, SO ZAMBIA AT THE TIME WAS WILLING TO GET RID OF THEM AT ANY PRICE
THE MASTERS LEFT YOU GOING CONCERNS WHICH YOU DESTROYED STAND UP TO THIS FACT !!!
There is no need to look for another invest they should instead get a private company to run the mine on its behalf..and how long will Glencore continue getting their stake in the mine and at what percentage. I don’t think it’s 100% ZCCM-IH has if it did then Glencore would not be getting anything at all
If ZCCM-IH finds a new investor, the new investor will take a look at the Glencore-ZCCM-IH termination contract and they will probably walk away. This is the worry I hv. Which investor will come in and pump money only to find that Glencore the devil still calls the shots? Those who talk to Eric Silwamba had better ask him this question. And why are we looking for a new investor? We hv publicly and loudly told the whole world that we want to take charge. Let that taking charge mean running MCM.
Of course they will endorse it overwhelmingly as they are handpicked cadres by dull Lazy Lungu just look at the CEO name Mr, Chipata….when this rotten deal is exposed the politicians as usual will say ZCCM is a private entity. Kasolo would never approve such a rotten deal …it seem we never learn from history its always greedy politicians thinking of their stomachs.
Of course they will endorse it overwhelmingly as they are handpicked ca dres by dull Lazy Lun gu just look at the CEO name Mr, Chipata….when this rotten deal is exposed the politicians as usual will say ZCCM is a private entity. Kasolo would never approve such a rotten deal …it seem we never learn from history its always greedy politicians thinking of their stomachs.
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HH and his supporters criticized President Lungu when he announced that the country will acquire a majority stake in Mopani Copper Mines. Now after this news, we hope that all haters’ mouths especially Hichilema are shut!
HH’s supporters need to keep their criticism and election game aside and praise this achievement.
We are getting back our command on natural resources! Zambia, it’s time for a double celebration. Happy Easter to all!!!!!
Here is proof that President Lungu is selfless, kind-hearted, and a visionary leader. He ordered to acquire a major stake in MCM and saved the jobs of thousands of mineworkers. And now, look at the results.
HH has sold Copper Mines in privatization and left thousands of mine workers to suffer. Whereas President Lungu uplifted the workers by acquiring a major stake in MCM. The mineworkers and Zambians are extremely happy at this moment.
This is great news! Good Job Zambia!!
We must appreciate all the development across the country under President Lungu’s administration!
This news will create a buzz in the international market for sure… Congratulation President Edgar Lungu.
This is indeed a piece of great news on Easter Day! God pouring its blessing to Zambians. Amen!
This is a tight slap on those who doubted the ability of President Edgar Lungu.
WOW THE PUPPETS ARE BACK IN FULL FORCE NOTHING TO OFFER EXCEPT PRAISE BE TO SOMEONE ABOUT TO DROWN THE COUNTRY
As usual the dummies are looking at it in terms of ownership instead of the numbers…really sad… it’s like getting full ownership of a commercial farm where you won’t even be getting full revenue and profits of the harvest…you won’t even sell it but your partner will sell it at various markets duping you on the price but you have to pay him for something he paid peanuts for.
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ZCCM-IH is 100% government owned. That means the PF government will take all the money for themselves, and leave nothing for investment. Same like Zesco, Zamtel, RTSA and all the others. All those road toll booths you are paying your good money to? Supposed to be for sustainable roads – the roads are worse than they have ever been while PF cadres can’t even finish the money they’re getting. No thank you, no more PF for me on August 12.
More to celebrate about over Easter. I m drinking like a fish this weekend.
Shareholders in ZCCM-IH by percentages:
IDC. = 60.28
GRZ = 17.25
NAPSA = 15.00
Others. = 7.47
The private sector has abandoned Mopani. GRZ couldn’t fold their arms. They needed to save the mine as they await another cooperating partner investor to come forth.
@ Mulongoti Machayi – Thanks for the informative clarification. Unlike some useless Tikki Talk, you are on the ground and well researched. May be Tikki Talk is still drinking Orange Tarino that’s why he seems to be hallucinating. There is no more Orange Tarino in Zambia. ECL and the team has done avery commendable job in saving the jobs of the miners. Even Vendata would have had a good termination contract at KCM had they not listened to Hazaluza Hagain.
2021 Hazaluza Hagain