Courts to handle KCM saga – Musukwa
Written by Millennium on August 25, 2019
NCHIMUNYA CHIDAKWA writes
GOVERNMENT had reiterated that the KCM debacle was a subject of the court of the law and would be resolved that way, Mines Minister, Richard Musukwa, has said.
The minister said Government was inclined to follow the due process of the law on the issue as Zambia was a country governed by rule of laws.
Speaking on the sidelines of the President Edgar Lungu’s State visit to India, Mr Musuka said it was now clear that the agreement with Vedanta was irretrievably broken down.
He said the company had extensively lost the social licence to operate in the communities of Chililabombwe and Chingola.
He explained that the step to liquidate KCM was premised on the need to secure the company from total collapse and protecting the people’s jobs as Vedanta had in principle walked away.
Mr Musukwa said based on the negligence exhibited during its resign, evidenced by its inability to fully exploit the copper ore, pay contractors and suppliers, and meet other obligations, it was clear that Vedanta had failed to run the mine.
“The government is determined once the court processes are concluded to urgently secure a credible investor in an open and transparent manner,” he said.
“New investors should have the capacity to inject fresh capital to operationalize KCM, both its underground and upper body ore resources which are believed to have a huge life line and could help provide job security,” the minister said.
Mr Musukwa said the new investor should contribute to transforming the host communities like roads, health facilities and schools.