Message Sam 27 Sep 2014 19:56

Vedanta here to stay

Vendanta Resources, the owners of Konkola Copper Mines- KCM has assured the Nation that it does NOT intend to pull out from Zambia.

KCM Spokesperson Sharpi Shachinda says KCM investment in Zambia is sound, intact and ongoing.

Meanwhile, KCM says the process to dewater Nchanga mine that is flooded has started.

Mr. Shachinda has told Znbc News that the de-watering process of the mine will take a couple of weeks.

KCM has been having some financial problems which have led to the mining firm failing to meet its obligations to the Copperbelt Energy Corporation -CEC.

This has led to the CEC restricting power supply to KCM one of the countrys biggest mining companies.

And the Copperbelt Energy Corporation-CEC- has restored full power supply to Konkola Copper Mines-KCM.

CEC Senior Manager Corporate Communication Chama Kalima says this in a bid to restore normal business relations despite KCM not having fully discharged its financial obligations to the Power utility.

Mrs Kalima has told ZNBC news in Kitwe that CEC is
hopeful that KCM will pay all its outstanding bills and begin to pay all their future bills as they fall due.

She says CEC believes it is important that all parties take learning
points from this incident and begin to uphold obligations in
accordance with the Power Supply Agreement (PSA).

On Thursday, government sternly warned Konkola Copper Mines – KCM and the Copperbelt Energy Corporation – CEC to immediately resolve their differences as the consequence of their standoff will have a grave impact on the economy.

Chief government spokesperson Joseph Katema said government would not accept any further delay or inaction by the two companies to resolve their differences as this can have far reaching humanitarian and economic
consequences.

Dr. Katema, who is also Information Minister, declared the continued standoff between the two firms as economic sabotage and directed the two companies to normalize the situation before end of the day.