Zambia’s plan to increase its stake in certain mining projects won’t affect existing operations or exploration efforts, a senior government official confirmed.
In August, the mines ministry introduced a strategy for a state-owned company to hold at least a 30% share in future critical mineral mines.
This approach applies only to over 40 government-reserved permits, with plans to bring in investment partners, explained Jito Kayumba, special assistant for finance and investment to President Hakainde Hichilema.
“No entity that currently operates in Zambia today, that currently has a license, will be subjected to any appropriation from the state. There will be no demand for them to restructure the shareholding so that either the government or a Zambian company comes in and takes 30%,” Kayumba said by phone.
As Africa’s second-largest copper producer, Zambia is aiming to more than quadruple its copper output by the early 2030s, a bold plan that hinges on billions in investment to develop early-stage projects into fully operational mines.
Last year, subsidiaries of First Quantum Minerals Ltd. and Barrick Gold Corp. produced about two-thirds of Zambia’s copper, and both companies are actively working to ramp up production.
Other major players include Abu Dhabi’s International Resources Holding, Vedanta Resources Ltd., and China Nonferrous Mining Corp., all of which operate mines in the country. Meanwhile, KoBold Metals, backed by Bill Gates, has launched an extensive exploration program to uncover new resources.
