Home - Konkola Copper Mines

What's the current situation?

This website is a platform to share information on the current situation at Vedanta’s KCM operations in Zambia. Our hope is that the information placed here will allow all stakeholders with an interest in the situation at KCM to understand what is happening and what Vedanta’s views on it are.

ABOUT VEDANTA CHAIRMAN'S MESSAGE

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#WeCare4KCM

Many things have been said over the past few months – in the media and elsewhere – about Vedanta and its operation of Konkola Copper Mines (KCM).

Here are 10 key facts that you should know about KCM and Vedanta.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

1

When Vedanta acquired a

51% stake

in KCM in 2004,

the life-of-mine was less than six years and the infrastructure needed massive investment.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

2

Zambia’s copper mining and processing

sector

was also in a difficult phase.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

2

Zambia’s copper mining and processing

sector

was also in a difficult phase.

Vedanta was not daunted, and wanted to make a difference.

Vedanta

remains firmly committed to

ZAMBIA
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

3

Vedanta paid

US$48.2 million

for an initial 51% share in KCM.

This price reflected the company’s commitment to invest in a series of major projects to open up new areas for mining and to build processing capacity.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

4

Vedanta invested

US$1.7 billion

to meet these commitments, including:
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

4

Vedanta invested

US$1.7 billion

to meet these commitments, including:

Over

US$900 million

on developing the Konkola Deep mine;
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

4

Over

US$450 million

on a new smelter at Nchanga,

with a sulphur capture of >99.6%, replacing the Nkana Smelter which was capturing only 30%;
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

4

Over

US$450 million

on a new smelter at Nchanga,

with a sulphur capture of >99.6%, replacing the Nkana Smelter which was capturing only 30%;

US$200 million

on new concentrators at both

Konkola Deep and Nchanga;
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

4

Over

US$150 million

on various other

projects
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

5

Vedanta also invested heavily to maintain KCM’s operations – dedicating

US$1,3 billion

of capital expenditure

to increasing KCM’s overall life-of-mine.

The open pit mine was extended from 2007 to 2025, and the underground mines from 2012 to beyond 2030 (as at August 2018).
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

6

In 2008, Vedanta paid a further

US$213 million

to increase its shareholding in KCM to 79.4%

– another demonstration of its commitment to the operation and Zambia.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

7

The cash generated by KCM has almost entirely stayed in

ZAMBIA.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

7

The cash generated by KCM has almost entirely stayed in

ZAMBIA.

KCM has paid Vedanta a total of

US$72 million

in dividends in the 15 years since 2004.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

7

This represents a return on investment of only

1.4%,

far below the norm for most viable mining projects.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

7

In comparison, KCM has since 2006 paid

US$1.3 billion

in taxes,

US$1.2 billion

to CEC for power costs;

and

US$2.3 billion

in wages.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

8

KCM has consistently supported local businesses, and more than

85%

of spend every year

is through companies registered in Zambia.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

8

While

there have been some

backlogs in payments, this was due to the financial stress the company has been under.

Under Vedanta, KCM was putting payment plans in place to resolve the situation.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

9

Over the 15-year period, KCM has employed, on average,

13,000 people
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

9

Over the 15-year period, KCM has employed, on average,

13,000 people

Direct employee earnings have amounted to around

US$900 million

since 2014 and in 2018 accounted for 22% of total operating costs.
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

10

Vedanta has spent around

US$200 million

on community programmes,
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

10

Vedanta has spent around

US$200 million

on community programmes,

including:

two hospitals

and 14 satellite clinics,
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

10

including a

90%

reduction in malaria incidents,
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

10

including a

90%

reduction in malaria incidents,

starting and funding three

football

clubs,
#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

10

and providing safe drinking

water

to over 8,000 people

through solar powered boreholes.

What's the current situation?

#WeCare4KCM

Here are 10 key facts that you should know about KCM and Vedanta.

#WeCare4KCM

1

When Vedanta acquired a

51% stake

in KCM in 2004,

the life-of-mine was less than six years and the infrastructure needed massive investment.

#WeCare4KCM

2

Zambia’s copper mining and processing

sector

was also in a difficult phase.

#WeCare4KCM

2

Zambia’s copper mining and processing

sector

was also in a difficult phase.

Vedanta was not daunted, and wanted to make a difference.

Vedanta

remains firmly committed to

ZAMBIA

#WeCare4KCM

3

Vedanta paid

US$48.2 million

for an initial 51% share in KCM.

This price reflected the company’s commitment to invest in a series of major projects to open up new areas for mining and to build processing capacity.

#WeCare4KCM

4

Vedanta invested

US$1.7 billion

to meet these commitments, including:

#WeCare4KCM

4

Vedanta invested

US$1.7 billion

to meet these commitments, including:

Over

US$900 million

on developing the Konkola Deep mine;

#WeCare4KCM

4

Over

US$450 million

on a new smelter at Nchanga,

with a sulphur capture of >99.6%, replacing the Nkana Smelter which was capturing only 30%;

#WeCare4KCM

4

Over

US$450 million

on a new smelter at Nchanga,

with a sulphur capture of >99.6%, replacing the Nkana Smelter which was capturing only 30%;

US$200 million

on new concentrators at both

Konkola Deep and Nchanga;

#WeCare4KCM

4

Over

US$150 million

on various other

projects

#WeCare4KCM

5

Vedanta also invested heavily to maintain KCM’s operations – dedicating

US$1,3 billion

of capital expenditure

to increasing KCM’s overall life-of-mine.

The open pit mine was extended from 2007 to 2025, and the underground mines from 2012 to beyond 2030 (as at August 2018).

#WeCare4KCM

6

In 2008, Vedanta paid a further

US$213 million

to increase its shareholding in KCM to 79.4%

– another demonstration of its commitment to the operation and Zambia.

#WeCare4KCM

7

The cash generated by KCM has almost entirely stayed in

ZAMBIA.