Mopani Copper Mines, operating in Zambia as JV between First Quantum Minerals and Glencore AG of Switzerland has invested more than USD 1 billion in its operations in the Southern African nation.

Mr Emmanuel Mutati CEO of Mopani Copper Mines said that the investment in its operations in Kitwe and Mufulira mines by the mining company in the past 10 years has exceeded investment by privatized mines in Zambia. The investment showed the company’s commitment as an operation as well as the stakeholders commitment to Zambia and its people, as the major goal of the investment was to increase productivity and reduce costs related with operations.

Mr Mutati said that the mines and the government needed to enhance the backward linkages with local suppliers, contractors and manufacturers, assisting them to improve efficiencies and thereby reduce costs in these areas.

He commended stakeholders for the support rendered to the industry during the global recession and that it was time to move forward and create hope for the future.

Mr Mutati urged that the mining sector players to unite and focus on reducing mining costs to ensure survival if the future copper prices drop. He noted that although the copper prices had been strong, exceeding the highs of the previous cycles, the mining depths and the increase in fuel and energy prices had raised the cost of production and supply to the market. He said that it not just how much the mines could get for the copper but of high costs of production.

(Filed by Mr Kapembwa Sinkamba SteelGuru Correspondent Zambia)