Zambia’s annual Copper production has dropped by 5% to about 760,000 tons. This trend goes against the New Dawn Administrations target to rump up Copper production to over 3 million tons in 10 years.
The drop has been expected after continued delays in resolving production challenges and sourcing for short term funding at both Mopani Copper Mines – MCM and Konkola Copper Mines – KCM to hold down optimum production levels. The 763,287 metric tons of the total copper produced in Zambia in 2022 is a drop from 800,696 tons which was produced in the preceding year 2021.
According to a consolidated copper production report obtained by the Zambian Business Times –ZBT and verified by the Chamber of mines, the 2022 copper production has decreased by a whooping 37,409 tonnes in the year 2022. At average international copper prices of $9,000, this is an export opportunity revenue gap or loss of about $340 million in 2022.
This drop is however against the government target of increasing copper production to 1.3 million metric tons for the 2022 fiscal year, a build up target needed as a step towards achieving the target of 3 million tons of copper within the next 9 years. Minister of finance and mines continue to insist that this 3 million copper production target is attainable despite top mining and exploration experts disputing and stating that the target is unattainable and the target may have not been based on exploration and mine developments on the ground.
Mining experts spoken to have attributed the 5% decrease to the continued declining of production at Mopani and unresolved Konkola Copper mine issues that are deteriorating on the ground, stating that they have largely contributed to the 2022 decreased copper production. If even resolving gold mining at Kasenseli mine has delayed to this long, how about large scale copper minimum?.
Former president of Mining Suppliers Augustine Mubanga told ZBT that the country is anticipating to see that the mining sector begins to contribute to the economic agenda of this country, because if left in the current state, it is dangerous on the national economy and specifically the Copperbelt’s regional economy, and also the negative impact on the lives of the people that directly depend on the smooth operations of the mines.
Mubanga said the negative contribution of Mopani and Konkola Copper Mine to the total production of 2022 will further have a significant impact on the revenues that will be received from the Mining Sector. Towns and cities like Kitwe, Ndola, Chingola, Mufulira and even Chililabombwe are under economic pressure.
He added that government should form a technical group of various stakeholders with historical and strong knowledge in the mining sector to advice government on issues surrounding the mining sector especially where two giant mines like Mopani and KCM are concerned.
For so long Calls for urgent attention have continued on both the court cases at Konkola Copper Mines and unprofitability of the Glenore deal at Mopani Copper Mines as they have left local businesses limping and have paralyzed the Copperbelt and the country at large.
