Zambia is striving to exceed 1 million tons of copper output in 2023 by enhancing partnerships with the UAE and Saudi Arabia. International Resources Holding has already boosted production at the Mopani mine and aims for further increases. With new agreements and investments, Zambia is confident in overcoming power supply challenges and meeting its production goals.
Zambia is aiming to achieve a record copper output exceeding 1 million tons this year by strengthening partnerships with affluent Gulf nations, including the United Arab Emirates and Saudi Arabia. Jito Kayumba, a special assistant to Zambia’s president, indicated that production may rise from approximately 720,000 tons in 2024. International Resources Holding RSC Ltd. (IRH) of Abu Dhabi is leading this endeavor, having increased output at the Mopani mine by 32% after securing a majority stake in late 2023, with a target of 150,000 tons for 2025.
Participating in the Future Minerals Forum, Kayumba stated that Zambia anticipates further agreements with Saudi Arabia following the recent signing of a memorandum of understanding to work together on mineral resource development. The UAE is actively seeking new investments, and this collaboration with Saudi Arabia illustrates the seriousness of the bilateral relationship. “They will definitely be in Zambia,” Kayumba noted, indicating a positive outlook for Gulf investments in the nation’s copper sector.
Kayumba emphasized the essential role of Gulf investors in Zambia’s ambition to more than quadruple copper production by the start of the next decade. He expressed confidence that Saudi Arabia would be among the first to invest, pending the results of an ongoing mapping study to identify viable development opportunities. Saudi Arabia has been making strides in establishing a mining hub by forming partnerships with foreign mining companies, including Canada’s Barrick Gold Corp. and Brazil’s Vale SA.
Additionally, Zambia has engaged in discussions with companies such as Manara Minerals Investment Co., state miner Maaden, and the Saudi Ministry of Industry and Mineral Resources to explore closer cooperation. Despite past concerns regarding power shortages affecting production, Kayumba is optimistic, pointing to upcoming solar plant commissions and the power surplus from neighboring Tanzania as mitigating factors. “There’s a lot of stuff now in place to mitigate the risks around this,” he stated, assuring that mining operations will not be impeded.
Zambia ranks as Africa’s second-largest copper producer, following the Democratic Republic of Congo, and is focusing on collaboration with wealthy Gulf nations to bolster its copper industry. The country is facing production levels much lower than its targets and sees partnerships with entities like UAE and Saudi Arabian firms as pivotal to reversing this trend. Recent investments and MOUs signify a potential shift in the dynamics of mining investment in Zambia, especially given the strong interest from Saudi Arabia and the UAE in the mining sector.
Zambia’s aggressive strategy to boost copper output to over 1 million tons involves strong partnerships with the UAE and Saudi Arabia, emphasizing the crucial role of Gulf investors. As production initiatives advance, particularly with International Resources Holding, and collaboration deepens through new agreements, Zambia appears poised to enhance its contribution to the global copper market without impending power shortages hindering progress. In summary, Zambia’s efforts reflect a strategic alignment with Gulf countries to secure investment and facilitate a significant increase in copper production over the next decade.
Original Source: www.mining.com
