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Kansanshi Mining Plc 2017-06-28T10:09:48+00:00

Kansanshi Mine is probably one of the oldest mines in Africa, with direct copper smelting dating back to the 4th Century. It is the largest copper producer by output in Zambia and is 20% owned by ZCCM-IH, with the balance owned by First Quantum Minerals Limited.

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Key Milestones

  • Reached full commercial production in April 2005;
  • Granted award as “Largest Tax Payer” in Zambia by the Zambia Revenue Authority on 1 st April 2010, which was dubbed “Taxpayers’ Appreciation Day”;
  • Crowned “Employer of the Year” by the Zambia Federation of Employers in 2010, 2011, 2014 and 2015. This award was overall winner’s award across all sectors of the economy and among all participating corporate entities in Zambia; and
  • Commissioned copper smelter in 2014 and started producing copper anodes from the smelter in First Quarter of 2015.

Corporate Social Responsibility

In line with the First Quantum Minerals Group ethos of “enriching the environment and communities in which the group operates” and “maximising opportunities and benefits for communities around the mine and in the host country”, Kansanshi Mining Plc has a very impressive corporate social responsibility programme, through which it funds community projects in Education, Health, Social Welfare, Infrastructure Development, Water and Sanitation, Conservation Farming and Sport.

Kansanshi Mining Key Products

Copper cathode | Copper anode | Copper concentrate | Gold dore

Kansanshi Mining Contact Details

The mine is located on Old Congo Road, some 10 kilometres northward of Solwezi Town.

Phone: +260 212 658000
Fax: +260 212 658203
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Extract from 2016 annual report

Kansanshi Mining Plc (KMP) had sales revenue of K15,699 million (US$1,586.1 million) (2015: K10,204.4 million (US$1,568.7 million) for the financial year ended 31 March 2016. The net loss for the year was at K5,110.9 million (US$517.4 million) (2015: Profit of K4,169.6 million (US$792.7 million). Total copper production was down 14% at 226,674 tonnes (2015: 262,287 tonnes) due to lower oxide and sulphide throughput during the first half of the year.

KMP intentionally reduced throughput in order to match KMP’s acid consumption with the smelter’s ramp-up to commercial production, while gold production was 12% lower at 136,257 ounces (2014: 154,431 ounces) due to lower concentrate production and lower head grade. The lower sales volumes were offset by the introduction of the KMP smelter in 2015 that recorded revenue of US$403 million.

In 2015, KMP completed the copper smelter well ahead of schedule and commercial production was declared on 1 July 2015. KMP’s smelter processed 709,188 tonnes of concentrate in 2015 and produced a total of 150,292 tonnes of copper anode and 645,000 tonnes of sulphuric acid. The KMP smelter achieved an overall copper recovery of 98%.

Subsequent to year end, ZCCM-IH fled a Notice of Arbitration on 26th October 2016 in London (UK) against Kansanshi Holdings Limited and Kansanshi Mining PLC. Further, on 28th October 2016 ZCCM-IH commenced legal proceedings in Lusaka, Zambia, against First Quantum Limited, FQM Finance Limited, Philip K.R. Pascal, Arthur Mathias Pascal, Clive Newall, Martin R. Rowley and Kansanshi Mining PLC for various claims arising from transactions between Kansanshi Mining Plc and FQM Finance Limited.

Total dividends paid during the period under review amounted to K59.3 million (US$8 million) (2015: K113 million (US$18 million). The amount payable to ZCCM-IH was K11.9 million (US$1.6 million) (2015: K22.6 million (US$3.6 million).

Download 2016 Annual Report

Extract from 2015 annual report

Sales revenues at Kansanshi Mining Plc (KMP) decreased to K10, 204.4 million (US$1, 568.8 million) for the financial year ended 31st March 2014 from K11, 334.5 million (US$2, 046.4 million) in 2014 reflecting lower realized copper and gold prices, and lower sales volumes. Overall copper production at KMP was 3% lower than the one for financial year ended December 2013 at 262,287 (2013: 270,724) due to a lower volume of sulphide ore processed, lower oxide ore grades and lower plant recoveries on the oxide circuit. At 154,431 ounces, gold production was 8% lower in 2014 (2013: 167,395) as a result of lower head grades in both the processed ore and stockpiled gravity tailings treated through the regrind circuit.

KMP posted lower results for the period under review on account of the ongoing constraints of limited local smelter availability and fluctuating prices for sulphuric acid. These challenges are expected to continue in the first half of 2015 before the benefits of the new smelter at Kansanshi, which produced its first anode in December 2014 after a 36-month construction period, start to kick in with processing capacity and low-cost sulphuric acid availability. When in full operation, the smelter is expected to produce over 300,000 tonnes of copper metal and one million tonnes of sulphuric acid as a by-product which will benefit KMP by allowing the treatment of high acid-consuming oxide ores and the leaching of some mixed ores. The commissioning of the KMP smelter was completed in 2015 and the smelter is budgeted to run at a capacity of 100,000 tonnes per month in 2016.

Total dividends paid during period under review amounted to K113 million (US$18 million) (2014: K3,977 million (US$600 million)). The amount payable to ZCCM-IH was K22.6 million (US$3.6 million) (2014: K795 million (US$120 million)).

Download 2015 Annual Report

Copper

Extracting value from tier one assets by improving efficiencies and operations.