The Karma Mining Services and Rural Development – KMSRD joint venture – JV with ZCCM Investment Holdings to form a gold company “Consolidated Gold Company of Zambia – CGCZ Ltd” for the purpose of developing a gold processing operation in Zambia will take off by end of March 2020.
The company in which ZCCM-IH have a shareholding of 45% and 55% for KMSRD respectively has invested about US$ 3.5 million into a laboratory which has been set to determine the gold content accurately in the ore that will be received from various miners for them to get a fair share and value for their material.
Addressing the media in Lusaka on March 11, 2020, attended by the Zambian Business Times – ZBT, KMSRD Chief Executive Officer – CEO for the gold mining company – CGCZ Faisal Keer disclosed that about $250,000 has been invested in setting up a lab that will be able to process about 30 samples per day.
This partnership comes after ZCCM-IH announced its initiative to start buying gold from artisanal and small scale miners across the country as one of the steps towards formalization of gold mining and trading activities in Zambia.
Faisal said the lab will also enable the general public have their samples tested adding that the gold company has also procured ten gold mining mini- processing plants to be set-up in Rufunsa and other gold mining areas. The company has also procured some earth moving equipment.
He added that the gold mining processing plants have a capacity of processing 30 tonnes if gold per day and will be operational by first week of April, stating that out of the target from the gold mining plant is to produce 300 grams of gold per day, that translates into approximately 7.5 kgs per month.
“Once we have received the mineral processing license which is in the process and most likely to be out by end of this month, we will then proceed to setting up the Gold leaching plant in Rufunsa aimed at chemically processing the gold stock piles with a capacity of processing about 8,000 tonnes” he said.
At the same event, ZCCM-IH Chief Executive Officer Mabvuto Chipata said the company’s partnership with Karma Mining Services and Rural Development will go a long way as it has over 20 years of experience in gold processing and has developed several gold processing, production and trading operations.
He added that this investment is in line with ZCCM-IH’s strategic objective in mining chain value creation which is to diversify the company’s investments away from copper linked investments to other minerals such as gold and other precious metals.
Source: Zambian Business Times