After forming a joint venture (JV) with a subsidiary of London-listed Arc Minerals, global diversified miner Anglo American has started progressing early-stage copper exploration at a number of licences in the Lyovu district of Zambia’s North-Western province.
Under the terms of the $90-million deal, which recently completed following satisfaction of the outstanding conditions, Anglo has a right to retain 70% of the JV company subject to meeting certain exploration commitments and payments to Arc, while the Arc subsidiary, Unico Minerals, will hold a 30% interest.
In turn, Arc holds 67% of the subsidiary.
Anglo discovery manager for Zambia Adriana Blesa says the company is pleased to have finalised the JV with Arc that now allows it to advance exploration in North-Western province, as the company looks to identify potential opportunities in copper and cobalt.
As with all mineral exploration projects, these are long-term commitments that require significant capital investment and expertise to ascertain whether there are deposits that are economically viable enough to progress to a phase of full-scale mining.
Notwithstanding the inherent uncertainty of such a long-term project, as part of its commitment to responsible mining, Anglo has already invested in a wide-ranging programme of community development projects in Zambia in education, healthcare, access to water and small business development.
In May, Anglo American launched a collaborative partnership with global humanitarian organisation World Vision to help improve access to education for 160 high school-aged girls in the Lyovu rural district in North-Western province, located near an area where Anglo is conducting mineral exploration activities.
“From mineral discovery activity right through to marketing our future-enabling products to customers, Anglo is committed to creating enduring value for society.
“Despite being in the early stages of exploration in Zambia, we believe in delivering a positive impact without delay. This is the right thing for local people, regardless of the outcome of our preliminary exploration on future mining activities,” Blesa states.