PRESIDENT Hakainde Hichilema says mining is essential for the Country’s economic stability as it drives long term sustainable growth and development to enable the Country participate in the global economy.
The President was displeased that in the recent past, the mining sector underperformed on its stocks and was not attracting foreign direct investment due to bad policies.
President Hichilema was speaking when he launched the US$2 billion Lumwana Super Pit expansion in Kalumbila district of North-western province yesterday.
In order to meet the demand for minerals, Barrick Lumwana has expanded its mining activities by opening Super Pit, to enhance the capacity of its mining activities through increased resource extraction, that will spur the Country’s economic growth by increasing production from 120,000 tones to 240,000 tones per year.
President Hichilema said growth is satisfactory hence government had to stabilize the mining sector by making the operation environment conducive.
“The economy was in distress towards the 2021 elections, the economy was in serious distress. We had defaulted with our debt obligation, and we worked very hard to restore the situation,” he said.
“To bring stability to the country, to bring normalcy, we retained the country to normalcy to apply the rule of law to work again. There was just no more life to inject in the (mining) sector as was in the corporate economy.”
President Hichilema said it is impracticable to have long term investment with instability in the policies.
“Leadership is at the centre of everything, that we need to do. Zambians take heed leadership is important. We have misused our 60 years of independence, we could have been at a different level now as a country. We could have been better by now, we must now move faster, we must act quickly,” he said.
“To have Manyama upgraded to have 2,000 houses built local council we need to move quickly. We need to have things approved like yesterday. There’s no time to waste. We have wasted 60 years most of that we could have done better.”
President Hichilema said there is need to address the challenges that coincide with expansion.
“Any challenge we have around this mine we must change these things. We must see who’s supposed to resolve that challenge. No challenge is insurmountable, no issue must remain on the table,” he said.
“Kansanshi mine would have been closing but in the next four years but for what we did we have now extended the life of the mine to the next 20 years.Many times see each other as competitors, it’s a blurred way of looking at things. This is how we complicate our lives, why are we in competition all the time?.”
He said the opening of Super pit was long overdue, as it should have happened earlier.
“The global environment is looking good for us, this asset God gave us called copper, is becoming a critical mineral in what the world wants to do to make itself cleaner and greener,” he said.
He directed that the displaced resident should be compensated and that job opportunities must be created for the locals.
“I made a pledge that when these mines under our government get to expand, we will also ensure that jobs are given to local people. The argument that local people don’t have skills, is not an excuse, because if they don’t have the skills, train them to acquire skills that the mine needs,”said President Hichilema.
“There are specialist skills which even Lumwana doesn’t have, globally and what does Lumwana do they are bringing those skills from wherever they are. To make this mine work we need specialist skills and when those skills are acquired we as a government will provide work permits. We have an opportunity to take this country to where many thought it can never be.”
Barrick Gold Corporation chief executive officer Mark Bristow said Barrick Lumwana will double its copper production with the operationalization of the Super Pit, to contribute towards government’s goal of producing 3, 000 metric tons of copper on an annual basis.
“We expect to finish the feasibility of the Lumwana extension by the end of this year. Once the extension is completed, the investment we will make is US$2 billion and this we believe will not be the last mine we build in your country,”he said.
Bristow said before extinction of the mineral in more than 30 years, the mine will focus on environmental development within the region to improve the livelihood of the community.
He said following the expansion about 550 permanent jobs have been created to add on toit’s workforce of 2, 750 its workforce .
“The total employees direct and indirect is 5, 500 people and after expansion they will grow to 8, 000 people. We expect to invest and establish an airport, Manyama is were we gonna put the people, we’ve already purchased enough land to accommodate 2,000 new homes, we are also planning to build an industrial park, so that those people that come to benefit from Lumwana can establish their business here,”said Bristow.
Minister of Mines Paul Kabuswe said the expansion of the mine will benefit government on tax revenues, royalties and export duty.
“What else do you want? Thank God “ gave us a President that is very fit. Zambians you are lucky, you have been blessed with a witty President. It is not easy to have so much interest in the country, we are already eating $8billion worth investment,” he said.
“Adding the Super Pit to the current investment we have today, we will be crossing $10 billion investment in the first three years of President Hakainde Hichilema’s reign. Someone who dumped this woman (Zambia) is saying I want to come back because this woman has started looking beautiful. Wasabga baleteya (we are a step ahead).”
Area member of parliament Nathan Mukumbi emphasized on the issue of social displacement to be addressed urgently.
He also emphasized the need for income diversification.
And chief Mumena said he was sensitizing his subjects about the importance of safe mining on a smaller scale.
“Appreciate the policies Barrick is bringing in to build the livelihoods of our people. We need better leadership for this massive development to bear fruit for everyone. Small scale mining should be made safer, we are conducting sensitization about the importance of try to make a living and stay alive,” he said.
By Mwaka Ndawa in Kalumbila
Kalemba October 3, 2024.
