adminZambia will revoke the licence of China’s CNMC Luanshya Copper Mines if the company does not reinstate workers sent on forced leave due to falling copper prices and power supply shortages, a government spokesperson is quoted in Business Report as saying. CNMC Luanshya said recently it had arrived at the decision after considering the rising cost structure for its Baluba Mine owing to the weaker copper price and the energy crisis bedevilling Africa’s second largest producer of the metal.
Spokesperson Chishimba Kambwili said the government would not accept any job losses as a result of the power shortage and had told CNMC Luanshya to rescind its decision.
The Mineworkers Union of Zambia (MUZ) says about 1 600 members were affected by the decision.
Meanwhile, sources said Glencore’s Zambian subsidiary Mopani Copper Mines will retain most of its workers even after copper production is suspended following a drop on the metal’s price, reports Business Report. An electricity shortage in the southern African nation and weaker copper prices have put pressure on the mining industry, threatening output, jobs and economic growth in Africa’s second-biggest copper producer.
The source said Mopani was in talks with the government and unions over Glencore’s plan to suspend operations and invest to improve efficiency at the mine. The president of Zambia’s largest mining union said the move by the government could help save thousands of jobs. – Business Report.
Online Reporter