ZCCM Investments Holdings PLC (ZCCM-IH) has secured a deal with Jinchengxin Mining Management Company Ltd (JCHX) to purchase an additional 10% shareholding in Lubambe Copper Mines Ltd. The transaction, valued at US$1, will raise ZCCM-IH’s ownership in the mine from 20% to 30%, while JCHX’s stake will decrease from 80% to 70%.
According to a statement from ZCCM-IH Corporate Affairs Manager Loisa Mbatha, the deal is anticipated to be finalized within the next six months. This acquisition will also grant ZCCM-IH marketing rights for copper ore concentrate in proportion to its increased shareholding.
This move represents a novel strategy for ZCCM-IH, aimed at maximizing asset value. The existing Shareholder’s Agreement will be revised to incorporate new value extraction strategies.
The enhanced equity stake will bolster ZCCM-IH’s influence over the governance and development of Lubambe Copper Mines, aligning more closely with the interests of both ZCCM-IH’s shareholders and Zambia’s national objectives.
In addition, JCHX plans to invest approximately US$300 million to support operations and extend the mine’s lifespan. The partnership is expected to enhance productivity and operational efficiency at the mine.
