Tuesday, December 24, 2024

International Holdings Resources new owners of Mopani mine

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 International Holdings Resources (IHR) is the new investor in Mopani Copper Mine and is expected to pump in US$1.1 billion dollars in the mining operation.

 President Hakainde Hichilema announced the completion of the Mopani Copper mine transaction during a press conference at Mulungushi International Conference centre in Lusaka.

The Head of State disclosed that the investment will be split between equity and debt.

President Hichilema explained that about US$400 million dollars will be provided as a shareholder loan to Mopani Copper Mine as part of the consideration to settle the original Glencore debt of US$1.5 billion dollars.

The president said that this is the first time that a transaction has been able to agree a new equity capital with a share factor of 51 percent stake in Mopani copper mines and 49 percent to the government through ZCCM-IH.

President Hichilema stated that there was need to amend the wrong transactions

, and pointed out that in the near future, transactions should not take longer because it costs money and time.

President Hichilema reiterated the government’s commitment to serving the interests of citizens to the best of the State’s ability, stressing the need for private sector skills to be engaged in future mining transaction negotiations.

And President Hichilema said that the government will continue driving the necessary changes in the mining sector in an effort to achieve the three million tonnes production target.

Mr Hichilema thanked the committee of ministers and other stakeholders for the successful conclusion of the Mopani transaction.

11 COMMENTS

  1. Well done President and your government. It has been our tragic weakness as a country to use civil servants/cadred to negotiate with with well resourced multinational corporations

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    • So International Holdings Resources have injected over $1 billion into the economy, two months ago we were told a mining company either FQM or Barrick Gold had pumped in 2 billion in NW province, last month it was announced LCM in Luanshya had pumped in a further $1.3 billion into that operation, Vedanta were to spend $1 billion on KCM…Yet the Kwacha from K17.5 only 6 months ago is getting to K26 to the USD, guys what is happening? The nation has never enjoyed such immense levels of investment and yet the currency has performed at it’s utmost worst. We had such high hopes but they have come crashing down. Us pensioners who bought TBills are crying because by the time they mature our money will be at K50-100 to the USD unless drastic actions are taken.

  2. For the first time since the demise of ZCCM, we have witnessed a deal where Zambia will have such a substantial share in a mine.

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    • ZCCM IH has a share holding 49 percent ,I don’t get it what hapens to the Glenco debt after paying them 450 million the debt that ZCCM IH has contracted ,does it have interest.Do they continue to pay from the dividends !

  3. 2020vision

    Learn to appreciate rather than finding faults which are neither here nor there. Jealous will eat you one day.

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    • Iwe when there is a problem should you keep silent or talk to resolve the issue? Problems must be addressed or they will get worse. Me and millions of Zambians wanted UPND to win so that we all have a brighter future, this is still possible but inorder for this to come to fruition changes must take place. The performance of the economy is subject to many questions, we are not children to be told it is only global thing, that is exactly what PF used to say and just as UPND said when they were in opposition we too must say why then is Zambia performing worse than our neighbours and their currencies? SA the Rand is at R18.3 and yet the ZMW was performing better only 6months ago.

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  4. Who owns International Holdings Resources and where is it registered? Vedanta is UK registered but is owned by a crooked Indian. I’ve never known the UAE as a mining country but that it hosts many crooked Indian businesses. This might be another Vedanta. What’s painful is that Zambia can’t own and run its own mines despite having been a mining giant for the past 100yrs! Zambia has been failed by crooked politicians

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  5. HH has developed the art of lying and fooling gullible Zambians….Same story whenever he travels overseas and signs nonsensical MOUs….just watch how the Mopani story will change in the next few months……

  6. The president spoke for more than three hours and still no highlights apart from this
    Why ba lsk times?
    I’d like to believe it was quite loadful and therefore expected more headlines

  7. kkkkkk these are just tally tells stories stories all need is actualization period,there is too much talk and less implementation .Is this a one man show or what. There are alot of pending issues in the mines,issues that are not solved and yet we still saying we have another investment of $1.1 billion whist the kwacha is under performing and povert levels are getting to waste. What is happening yama? people are now eating once instead of 3 times mmmmm aweeee takwaba.

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