
Despite resentments from the miners unions over its investment in Africa’s leading copper producer, Brazil’s and Africa Rainbow Minerals Limited have jointly started mining operations at Konkola North in Zambia with an initial investment of USD 380 million.
The JV begun operations at Konkola North Copper Mine lying about 500 kilometers from the capital, Lusaka in northern Zambia in August this year. Commissioning part of the project including a concentrator is expected to be done after 2 years.
According to a statement, the copper project initially earmarked to cost USD 400 million is expected to be commissioned after 27 months when most of the works including a concentrator and other essential units are expected to be completed ahead of the projected full production by 2015.
Konkola’s South and East Limb Mines will be developed first followed by deeper, higher grade and wider reef areas. Ore output is projected at 2.5 million tonnes per annum.
The commencement of the mining project comes amid concerns from the mine workers in the Southern African nation that argued last July against Vale SA’s planned investment in the country because of its human rights record that the workers contended violated the workers rights in other parts of the world.
Mr RayfordMbulu president of Mine Workers Union of Zambia said that last month that it was opposed to the investment by Vale SA which was in Joint Venturewith African Rainbow Minerals from investing in Zambia for fear that the miners would be subjected to ill treatment by the investor.
He said that what people should know is that when they come to Zambia we have in place mining regulations under the Mining Investment Act and the labour laws which will regulate their operations.
He argued that allowing the Brazilian investor to come into the mining sector would be promoting violation of workers rights as was the case in other countries where the world’s largest iron ore and copper producer operated.
Mr RayfordMbulu said that “We have the powers to block any investment from coming into the country because we are internationally affiliated and we have information that their record is bad.”
However, Mr Maxwell Mwale mines minister of Zambia and the chamber of commerce and industry said that the arguments by the unions were unfounded and that the coming of Vale SA and its partners would create competition among the existing mining companies something that could prove critical to the development of the mining industry in Zambia.
Mr Mwale added that these are the factors to be looked into before condemning the Brazilian investment and, in any case, for those who have raised reservations such as the mine unions it is important that they highlight them to the Zambia Development Agency for scrutiny when the investor comes.
The human rights records for Vale SA, according to Mr Mwale is of acceptable standards and saw no logic in attempts by Mine workers Union of Zambia to block the USD 400 million investment at Konkola North in the Copperbelt region.
He said that Vale SA was the second largest mining company in the world and through their investment in Zambia, the nation was bound to benefit immensely. The union may have privileged information to know more but Vale is the biggest mining company in the world and they do not have human rights problems.
And the country’s chamber of commerce and industry added its voice saying Zambia will benefit a lot from the planned investment into the country’s mining sector by Brazilian investors.
Mr Eddie Kapungulya VP of the Northern region advised those against the planned investment into the country’s mining sector by a Brazilian investor Vale SA to evaluate the possible benefits to the nation before condemning the move.
Mr Kapungulya said that Zambia stands to gain a lot from the planned investment into the country’s mining sector by the Brazilian investor. The planned Brazilian investment into Zambia was good considering that the South American nation had a wealth of mining experience which could prove vital in contributing to further growth of the industry in Zambia.
(Filed by Mr Kapembwa Sinkamba SteelGuru Correspondent Zambia)










