Operations at the Nchanga underground mine in Zambia will be suspended today (Friday) as demand – primarily from China – for base metals continues to decline , according to media reports.
A spokesperson for Konkola Copper Mines (KCM), which operates Nchanga, was quoted by Bloomberg news agency as saying that the underground mine was currently a loss making asset. “If operations continue, the mine would lead to a business loss of US$30-US$40 million over the next year,” the company spokesperson reportedly said.
Meanwhile, Zambian president Edgar Lungu assured miners this week that the government had no intention of taking over mines. This, according to CNBC Africa, is a backtrack on statements made earlier this month. Lungu added that government would do its best to keep job losses to a minimum.
