ZCCM IH recently charge up Mapatizya with the unveiling of equipment worth K6 million for its investment in Kariba Minerals Limited which is intended to shake up the industry.
The investment group, currently under the stewardship of Mabvuto Chipata who is Acting CEO, recently announced that it would be acquiring the remaining 50% shares in the Amethyst mine. This is one of the oldest mines of its kind in Zambia and has been operating for over 60 years.
The company’s market share has been estimated at over 90% of the amethyst originating from Zambia, with production reaching as much as 800 tonnes of commercial grade amethyst per year, making it one of the largest producers in the world, according to Mr. Chipata who gave a statement at the 67% handing over ceremony. He hopes that this investment will yield positive results for his investment company which is pursing high performance targets which will require quality sales being made by the mine.
The mining equipment investment made to the company included two tipper trucks, one excavator and one front end load. This investment would go a long away in ensuring that the mine remained a leading player in the mining industry, according to Peter Phiri who is General Manager for Kariba Minerals. The forecast increases in production is around 150% for commercial grade amethyst and 67% for ore by tonnage.
ZCCM IH has been on an investment drive and recently unveiled its 5 year strategy which the company believes will increase shareholder value over the long term. The Chart below shows the performance of the company’s shares on LuSE over the last 5 years. With the share price last peaking in December 2015, Mr. Chipata and his management team will be targeting to achieve the highs of yesteryear. The investment made in Kariba Minerals is a clear signal to the market that they are intent to grow shareholder value.