12 °c
London
Saturday, August 13, 2022
No Result
View All Result
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
No Result
View All Result
FurtherAfrica
No Result
View All Result
Home Africa

Zambia sees deal with Glencore over Mopani Copper within a month

Staff by Staff
November 17, 2020
in Africa, Copper, Government, M&A, Mining, Zambia
Reading Time: 2 mins read
805 25
0
Share via QRWhatsappShare on FacebookShare on TwitterLinkedInPinteresteMail

Zambia expects to conclude talks over buying Glencore Plc’s stake in Mopani Copper Mines Plc within a month, according to Barnaby Mulenga, permanent secretary in the Ministry of Mines.

Mulenga declined to disclose the size of the stake that state-owned ZCCM Investments Holdings is trying to acquire. ZCCM-IH currently has 10% of Mopani, with Glencore holding 73.1% and Vancouver-based First Quantum Minerals Ltd. 16.9%.

Zambia wants to raise its holding after clashing with Glencore earlier this year over the company’s plan to mothball Mopani’s operations. But it’s unclear how the cash-strapped government, which last week defaulted on a Eurobond interest payment, would finance a deal. While impairments of US$1.14B at Mopani contributed to Glencore posting a first-half loss, the Switzerland-based commodity giant still assigned a value of US$704M to the operations.

Mulenga expects a deal to be announced in the coming weeks by Mines Minister Richard Musukwa, who said in September that both companies were prepared to sell their entire holding in Mopani. Zambia won’t have trouble raising finance for the deal, according to Mulenga, even though no money will come from the Treasury.

Also read: Zambia rejects Glencore copper mine’s suspension plan

“The resource attracts money, so the issue of financing is the least of the worries for the Zambian government,” Mulenga said in an interview on Thursday, referring to Mopani’s copper-mining operations. He didn’t give further details.

A spokesman for Glencore declined to comment. First Quantum spokesman John Gladston also declined to comment.

Glencore shelved its plans to place the operations under care and maintenance for 90 days, after Zambia threatened to revoke its mining license in April. The government strategy is driven by a need to safeguard jobs at Mopani, rather than any desire to raise its shareholding, said Mulenga.

Zambia’s increasingly tense relations with investors in the key copper-mining industry may partly reflect manoeuvring by President Edgar Lungu ahead of next year’s elections. The government is also in arbitration over mining assets it seized last year from billionaire Anil Agarwal’s Vedanta Resources Ltd.

Other copper miners have halted US$2B of planned investments because of a dispute over a royalty tax. A mining conference later this year will seek to address that issue, Mulenga said.

“Hopefully we will come to some consensus to what should this tax regime look like,” he said.

Source: Bloomberg

Related

Tags: Anil AgarwalCoppercopper mineFirst QuantumGlencoreGlencore PlcMiningMopani Copper MineMopani Copper Mines PlcVedanta Resources LtdZambiaZambia sees deal with Glencore over Mopani Copper within a monthзамбияزامبياザンビア赞比亚
ScanSendShare332Tweet208Share58Pin75Send
Staff

Staff

Related Posts

Culture

Meet 3 Richest African Immigrants in the US Millionaires Club

by See Africa Today
August 13, 2022
Culture

7 Africa’s Longest Serving Presidents

by See Africa Today
August 13, 2022
Economy

Mozambique’s 22% tax cuts among 20 measures for economic acceleration

by The Exchange
August 13, 2022
Tech

NFTs and blockchain crucial in concept of an African Metaverse

by Web3Africa
August 13, 2022
The new currency notes in Ethiopia
Finance

Development Bank of Ethiopia to provide 10 Billion Birr loan for SMEs

by FurtherAfrica
August 12, 2022
Angola Oil & Gas 2022
 
AFSIC 2022
 
Great Limpopo Transfrontier Park
 
MozParks

Translate this page

Read the Latest

Culture

Meet 3 Richest African Immigrants in the US Millionaires Club

by See Africa Today
August 13, 2022
0

The US is always a top choice for immigrants, and it remains unchanged for decades, giving existence to the richest...

Read more

7 Africa’s Longest Serving Presidents

August 13, 2022

Mozambique’s 22% tax cuts among 20 measures for economic acceleration

August 13, 2022

NFTs and blockchain crucial in concept of an African Metaverse

August 13, 2022
The new currency notes in Ethiopia

Development Bank of Ethiopia to provide 10 Billion Birr loan for SMEs

August 12, 2022

FurtherAfrica Partners Network

The Exchange Club of Mozambique Taarifa Rwanda
TechGist Africa Africa Oil & Power Farmers Review Africa
Tanzania Invest Zambia Invest See Africa Today
Africa Global Funds Novafrica CrudeMix Africa
Harambee Africa Botswana unplugged Financial Insights Zambia
Digilogic Africa Web3Africa

Subscribe to FurtherAfrica

Enter your email address to receive new articles on your email.

Join 99,392 other subscribers.

FurtherAfrica

© 2021 FurtherMarkets

FurtherAfrica is a FurtherMarkets Limited platform

  • Countries
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

Follow Us

No Result
View All Result
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

© 2021 FurtherMarkets

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?