Zambia, a landlocked nation located in Southern Africa, has a population of 13.8 million people that is projected to triple by 2050.
Copper mining is the major economic activity in the nation. The government is trying to diversify its economy to agriculture and tourism, after copper mining industry faced its worst run in 2015 due to dropping metal prices on the international market.
Here are key things you need to know about copper mining in Zambia.
Sources; Bloomberg, BARRICK, THE GLOBE AND MAIL, Great North Road, ZAMBIAN MINING MAGAZINE, Mining Law 2016, Zambia-Invest, BBC,
Zambia is the second largest producer of copper in Africa. Democratic Republic of Congo overtook Zambia in 2013, with annual production of about 942,000 tons. It is the seventh biggest producer in the world. Zambia’s annual production was between 900,000 to 915,000 tonnes in 2013s. In 2014, production fell to 708,000 tonnes. Production is projected to hit 1.5 billion tonnes by 2018, due to new projects being implemented to boost the sector.
Zambian government privatized copper mining in1990s. This led to increased growth and investments. In 2000, private investment in the sector was worth $8 billion. This is projected to reach $15billion by 2017.
Copper is the major export commodity for Zambia. It accounts for more than 60 percent of the total exports. This is about 70 percent of the total copper exports from Africa. It contributes 45 percent of the government revenues.
On September 25, 1970, the worst tragedy in Zambia’s mining industry happened in the Mufulira Mine in Mufulira town. It killed 89 people. The mine was flooded after mud and water seeped and flooded shafts inside the mine.
It is the largest underground copper mine in Africa. It is located in Mufulira town. It is co-owned by the Zambian government and Roan Consolidated Copper Mines, a mining company in Zambia. It is also one of the largest copper mines in the world. The first copper ore in Mufulira was discovered in 1923.
This is the biggest copper mining company in Zambia. It is a subsidiary of Vedanta Resources Plc of Britain. It is also one of the biggest integrated copper producers in Africa.
The mining industry, led by copper mining consumes more than 50 percent of the total hydroelectric power in the Southern Africa nation. In early 2016, the nation increased power tariffs for mining companies in order to ease its worst electricity crisis that was caused by a devastating drought in 2015.
Copper mining is the major economic activity in Zambia. Four companies had employed 56,300 people by the end of 2012. Between 110,000 to 220,000 jobs are indirectly created by the mining industry.
The Zambian government, through the Ministry of Mines, Energy and Water Development awards both prospecting and mining licenses. Prospecting rights are valid for only two years. They can be renewed upon expiry. The maximum period is seven years.
In 2015, Konkola Copper Mines was accused of poisoning the Mushishima Stream that supplies water to Hippo Pool, Hellen, Kakosa and Shimulala communities. The residents took the company to court in The United Kingdom, on accusations that it had been spilling sulphuric acid and other toxic chemicals into the water sources. Much of the soil in Chingola town and surrounding areas had been rendered infertile due to the pollution.
In 2011, Vedanta Resources Plc and its subsidiary, Konkola Copper Mines Plc, was ordered by the Lusaka High Court to pay $1.4 million to the residents after sulphuric acid and other chemicals spilled into the Mushishima stream and Kafue River in 2006.