https://www.miningweekly.com
Africa|Copper|Mining|Resources|Underground|Operations
Africa|Copper|Mining|Resources|Underground|Operations
africa|copper|mining|resources|underground|operations

Zambia Vedanta unit halts operations at underground mine on tax concerns

6th January 2019

By: Reuters

  

Font size: - +

LUSAKA – Zambia's Konkola Copper Mines (KCM), majority owned by Vedanta Resources, suspended operations at its Nchanga mine following the introduction of an import duty on copper concentrates, the company said.

Zambia, Africa's No.2 copper producer, introduced new mining duties, increased royalties and plans to replace Value Added Tax (VAT) with a sales tax by April to help bring down mounting debt.

KCM said in a note to employees, seen by Reuters, that operations at the mine would be suspended from Jan. 4 due to low availability of acid as a result of rationalised operations at its Nchanga smelter.

Operations at the smelter were downsized due to low availability of concentrates after the government introduced an import duty on concentrates, KCM said.

"The introduction of 5 percent import duty on concentrates has made the smelting of imported concentrates commercially unviable," the company said.

KCM said it needed to import concentrates in order to meet smelter capacity and blending requirements.

The Chamber of Mines said last month mining companies may lay off over 21,000 workers due to reduced capital expenditure over the next three years due to the changes.

Edited by Reuters

Comments

Showroom

Actom image
Actom

Your one-stop global energy-solution partner

VISIT SHOWROOM 
Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Mining Weekly Editor Martin Creamer
Copper shares soar and green hydrogen goes digital
26th April 2024
Magazine cover image
Magazine round up | 26 April 2024
26th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.131 0.168s - 108pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: