State did not sell LCM By KASUBA MULENGA PARLIAMENT heard y

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State did not sell LCM
By KASUBA MULENGA

PARLIAMENT heard yesterday that Government did not sell Luanshya Copper Mine (LCM) to China Non-Ferrous Metal Mining Company (NFCA) and cannot tell the actual purchase value of the mine because the transaction was for the 85 per cent shares owned by Enya Holdings to the private buyer.

Deputy Minister of Mines and Minerals Development Boniface Nkata told the House that Government could not sell LCM to NFCA because it did not own the mine.

Mr Nkanta was responding to a question raised by Roan member of Parliament (MP) Chishimba Kambwili (PF), who wanted to know what the actual value of the mine was at the time of sale.

“The value of a company is determined by the valuation of its assets and liabilities. In the case of Luanshya Copper Mine, the owner did not publish the valuation at the point of sale.

The actual value of the company should be taken as the price the seller accepted following negotiations with the buyer,” he said.

Earlier, Mr Kambwili asked why Government sold LCM for US$50 million when the conveyor belt alone from Baluba to the smelter cost US$8.5 million about 30 years ago.

But Mr Nkata said all the bidders for the purchase of LCM were publicly announced by President Banda at a rally in Luanshya and that every tender has a confidential undertaking.

The deputy minister was responding to Mr Kambwili who asked why Government did not publish details of the three other bids for the purchase of LCM.

And Minister of Mines and Minerals Development Maxwell Mwale said Mr Kambwili should be interested in the issue of developing the Mulyashi project and be happy that many people in his constituency now have jobs following the re-opening of LCM.

Luapula MP Peter Machungwa (PF) asked whether it was correct for Mr Kambwili to ask Government questions on the sale of LCM when the firm was sold by Enya Holdings.

Dr Machungwa said Mr Kambwili’s questions should be directed to the private owner that sold LCM to NFCA and not to Government.

“Mr Speaker sir, if the mine was sold by the owner, why should Government be asked such questions? The questions should be directed to the owner of the mine,” Dr Machungwa said.

Meanwhile, Deputy Minister of Health Mwendoi Akakandelwa told the House that Government has constituted two committees that will review and advise on how to resolve problems affecting health workers to avoid nationwide strikes like the one that took place this year.

Mr Akakandelwa said the joint labour management committee has been formed to assess various health workers’ conditions of service, including allowances after which the team will make recommendations to Government.

He was answering a question from Mapatizya MP Ackson Sejani (UPND), who wanted to know the steps Government has taken to avert countrywide strikes by nurses and other medical personnel.

And Minister of Home Affairs Lameck Mangani told the House that two Finance Bank officers were killed on the Mongu-Kaoma road in Western Province on July 29 this year.

Mr Mangani said a soldier and two civilians were arrested in connection with the murder while another soldier is still on the run.