Vedanta Meets Union & Supplier Leaders to Discuss KCM Transition Process
Vedanta Resources, a global mining firm, recently held a significant engagement session with key stakeholders in Kitwe, Zambia. The meeting, which took place on May 10th, 2024, saw representatives from Vedanta meet with leaders from Mine Workers Unions and the Executive of the Zambia Mine Suppliers Association.
Malcolm Mewett, the KCM Designate Chief Operating Officer, and Dr. Moses Banda, the Country Director for Vedanta Resources, led the discussions. The primary agenda was to update the leaders on the ongoing transition process concerning Konkola Copper Mines (KCM).
This included updates on the creditors’ scheme of arrangement, capital raising efforts, and the crucial issue of bridge financing.
During the session, it was disclosed that creditors’ scheme of arrangement meetings would be held on May 24th and 30th, 2024, categorizing creditors into two classes based on the amount owed. Additionally, progress on capital raising initiatives was shared, emphasizing steady advancement.
Bridge financing emerged as a critical interim solution, particularly in covering salaries, wages, and essential supplies for KCM. The initial USD 25 Million disbursed in February 2024 is nearly exhausted.
Vedanta is in discussions with the Zambian government to redirect the USD 24 Million previously forfeited to the state by the Zambian Court, back to KCM.
Leaders from the Mine Workers Union and the Zambia Mine Suppliers Association expressed appreciation for the engagement and the timely updates provided by Vedanta.
The firm, in turn, reiterated its commitment to Zambia and its people, emphasizing its ongoing USD 1.3 Billion investment in KCM to enhance its infrastructure, modernize operations, and bolster production capacity.
Vedanta Resources remains optimistic about the transition process and is dedicated to working collaboratively with all stakeholders to ensure a swift and successful transition.
This is contained in a statement issued by the Corporate Communication Office of Vedanta Resources.
