Reuters reported that top African copper producer Zambia plans to audit all its mining houses in a bid to dig for back taxes of up to USD 1 billion it estimates it is owed.

Such a policy by the government of populist Mr Michael Sata president of Zambia would widen an initiative launched by the previous administration and comes against the backdrop of a surge of resource nationalism across Africa and Zambia's own doubling of copper royalties to 6%.

Mr Wylbur Simuusa mines minister of Zambia said that "We need to look at what the mining industry has been giving. What we have been told by the World Bank and others is that we did not collect adequate tax."

Mr Simuusa said that the government planned to start with the big mining houses and said one audit was imminent but he declined to name the company. So we are now actively pursuing this. We intend to audit all the mining houses but we'll audit the big ones first.

(Sourced from Reuters)