Message Ven 4 Sep 2009 07:57

Kansanshi cheered by copper boom

Kansanshi cheered by copper boom

By Business Reporter

KANSANSHI Mining in Solwezi has said the high copper prices now obtaining on the international markets will improve its investments in mining operations, human resources and other operational requisites.

Kansanshi Mining business development manager and acting public relations manager, Annie Kazhingu said in response to a query that the company expects to earn more from the favourable prices of copper.

Ms Kazhingu said like in the past when Kansanshi Mining invested the profits it made in Zambia on its operations in the Solwezi mine, the firm would be investing substantially using revenues from the good prices.

“The increase in the copper price we are seeing now means Kansanshi will generate higher sales income and improve its bottom line, in terms of profits. Such profits will enable us to invest more in the mining operation, for the long term,” she said.

Kansashi had projected to produce 244,000 tonnes of copper in 2009, and is optimistic that the target would be achieved.

Ms Kazhingu said Kansanshi had weathered the storm created by the collapse in world copper prices by rationalising its operations to enhance efficiency and re-negotiating its contracts with suppliers.

“This enabled us to contain our production costs within the low copper prices and helped us to avoid massive job lay-offs,” she said.

The entire mine site laid off only 130 employees out of a labour force of 3,400 and some previously laid off workers have since been re-employed.

Kansanshi Mining would continue to manage its business prudently even in times of peaks like now to ensure sustainability of operations in the long-term.

“Mining is a long-term investment, with peaks and troughs in world market copper prices,” she said.

Kansanshi would continue to ensure long term sustainability, continued employment of its workers, sustained investment in community projects and contribution of tax revenues to the Government.