Zambia’s largest copper miner – First Quantum Minerals (FQM) has posted a paltry 4% growth in copper production from its Zambian based Mines for the year ended December 2020.
According to a press release made available to the Zambian Business Times – ZBT, FQM posted total copper production from its Zambian Mines of 472,000 tons for 2020, up from 452,000 tons produced in 2019.
Overall copper production from its two Zambian Mines at Kalumbila and Kanshanshi, both in North Western Province, recorded a paltry increase of about 20,000 tons, which translates to a growth in copper production of 4% from 2019 to 2020.
However, the Toronto listed FQM group which indicated its desire to geographically diversify from its over reliance on Zambian based Mines which in 2019 accounted for over 70% of its copper production seems to be on track on this strategy.
FQM ramped up copper production at its new Mine at Cobre Panama Mine from 147,000 tons in 2019 to 206,000 tons in 2020, an aggressive increase in production of about 40% year on year.
A further review of the individual Mines shows that the Kalumbila based Sentinel Mine achieved a record copper production of 251, 000 tons for the full year 2020, 31,000 tons or 14% more than 2019, reflecting a significant increase in throughput and favourable grades.
However, Solwezi based Kansanshi Mine copper production full year 2020 dropped to 221,0000 tons, from 232,000 tons in 2019, with quarter four [Q4] 2020 being 53,000 tons, a decline of about 11,000 tons or 5% from 2019 production.
These numbers confirm the emergence of North Western Province as Zambia’s Copper Powerhouse with key Copperbelt based Mines namely Mopani Copper Mines and Konkola Copper Mines having experienced challenges in production as well as management.
Both Mopani and KCM are now under ZCCM IH, a state owned investment company with KCM still caught in legal battle with its former owner, India’s Vedanta. Mopani has just concluded the deal with 100% shares acquired by ZCCM IH. There is now need to timely return the two Mines to full production to take advantage of the favorable international copper prices currently obtaining.
Copper production and export remains Zambia’s largest economic activity. The copper mines had been able to continue with their full capacity production in 2020 after being strategically exempted from the load shedding that mostly affected domestic and some commercial sectors.
Zambia experienced steep power shortages in 2020 with domestic and commercial segments being the mostly hit. 2021 however looks set to return to normal in terms of power production and supply as the rains which feed the mostly hydro power generation capacity has so far been normal to above normal, with floods recorded in most of the provinces across the country.
