ZCCM-IH makes $55m payment to State

[LesCrozes]

Zambia Daily Mail
http://www.daily-mail.co.zm/?p=391


ZCCM-IH makes $55m payment to State
March 29, 2012 By NKOLE CHITALA

ZCCM-Investments Holding Plc (ZCCM-IH) has made a part payment of US$55 million towards the pre- privatisation loans owed to Government.
The group has also achieved a turnover of K891,764 million during the six-month period ended September 2011 which is 212 percent above the turnover of K265,896 million for six months recorded on September 30, 2010.
This is according to unaudited results for the six-month period ended September 30, 2011 released by company secretary Chabby Chabala.
Mr Chabala said the money owed to Government was paid during the period under review.
He also said the company turnover is 212 percent up compared to K285, 896 million for the six months to September 30, 2010.
Mr Chabala attributed the increase mainly to a profit of K699, 137 million proceeds of K802, 357 million (US$167,507 million) less cost of K103, 220 million from the sale of shares in Equinox Minerals Limited.
He, however, said the turnover for Ndola Lime Company (NLC) at K105, 254 million declined 41 percent from that of the same period in 2010.
He said the decrease is largely due to the shutdown of the rotary kiln on account of a breakdown of the electrostatic precipitator.
“With only the vertical kiln being operational, there was reduced production which in turn resulted in reduced turnover and cost of sales compared to that for the period ended September 30, 2010,” he said.
Meanwhile, ZCCM-IH also says events in the Euro Zone are likely to impact adversely on global commodity demand and prices.
Mr Chabala said with lesson learnt from the global financial crisis, a number of mining companies have kept a close watch on unit production costs in order to better manage base metal price fluctuations.
“We are keenly observing events in the Euro Zone and the effects being made to address them,” he said.
ZCCM-IH is an investment holdings company which is quoted on the Lusaka, London and Euronext Stock exchanges, and has the majority of its investments held in the copper mining sector of Zambia.
The company’s shareholders are the Government of the Republic of Zambia with 87.6 per cent shareholding while private equity holders take up 12.4 per cent.
Minority shareholders are spread throughout the world in various locations.