Vedanta Resources Reaffirms Commitment to Invest $1 Billion in Konkola Copper Mines and Revitalize Zambia’s Copper Industry
Vedanta Resources Limited has reaffirmed its commitment to investing in Konkola Copper Mines (KCM) with a significant financial commitment. The company plans to invest $1 billion in KCM’s development, make a $250 million payment to all local creditors, allocate $20 million for investment in the local community through Corporate Social Responsibility (CSR) initiatives, provide a 20% increase in salaries for employees, and issue a one-off payment of K2500 to all employees.
According to a statement issued today on 19th September, 2023 by Masuzyo Ndhlovu, the Director of Corporate Communications, Vedanta’s return to managing KCM will ensure the continuity of the Konkola Deep Mining Project (KDMP), which began its development plans in 2006. Vedanta was responsible for commissioning Zambia’s first post-independent era mining shaft, measuring 1.5 kilometers in length. However, certain aspects of the project, such as the installation of the pump chamber at a depth of 1390 meters in shaft No.4, were deferred during the development phase.
The current state of this national strategic asset is deteriorating, and production output has significantly declined. Vedanta aims to revamp KCM, and the company is working with ZCCM Investment Holdings to finalize revisions to the shareholders’ agreement and its implementation. This process is expected to take approximately three months before Vedanta Resources assumes full control of the mine.
Once the KDMP is fully completed, it has the potential to play a pivotal role in revitalizing Zambia’s economy, contributing to the nation’s goal of achieving an annual copper production of 3 million metric tons in the next decade, as envisioned by the government.
Vedanta Resources emphasizes the importance of KCM’s future and is committed to making a positive impact on KCM’s employees, their families, business partners, suppliers, and the communities where KCM operates, including Chililabombwe, Chingola, Kitwe, and Nampundwe.
