Chambishi smelter processing Lumwana copper

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Zambia's Chambishi smelter processing Lumwana copper
Sat Sep 26, 2009 2:14pm GMT

LUSAKA (Reuters) - Chinese-owned Chambishi copper smelter has started processing concentrate from Zambia's Lumwana copper mine, initially rejected by another smelter after claims it contained uranium, a senior official said on Saturday.

Harry Michael, chief executive of Lumwana mine, a unit of Equinox Minerals Ltd, said Chambishi smelter would treat 55 percent of the company's annual output under a five-year agreement.

Lumwana cut its 2009 production forecast to between 110,000 tonnes and 120,000 tonnes copper metal in concentrate from a projected 170,000 tonnes due to lack of equipment and other operational difficulties.

"We will be sending on average 55 percent of our annual concentrate to Chambishi copper smelter in the next five years," Michael told Reuters.

Lumwana's copper concentrate was rejected by Mopani Copper Mines (MCM), majority owned by Glencore International AG of Switzerland, after Mopani claimed in March that the concentrate had high uranium traces.

"As far as we are concerned, our concentrate is perfectly good and meets the guidelines set by the International Atomic Energy Agency and so we have no problems with (Chambishi). We can't understand why Mopani rejected it," Michael said.

Lumwana, which Equinox says is Africa's largest open-pit copper mine, opened in December after a five-month delay caused by a fire at the site's processing plant.

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