By MILDRED KATONGO –
TIMES Printpak Zambia Limited scooped the second prize in the best exhibitor Stationery and Publishing category at this year’s 52nd Zambia International Trade Fair (ZITF) in Ndola.

The Zambia Daily Mail scooped the first prize.

Commerce and Trade Minister Margaret Mwanakatwe presented the awards yesterday at the ZITF Presidential pavilion grounds.

Zesco Limited scooped the best overall exhibitor and best theme interpretation, while Zambia Sugar walked away with the second prize in the best overall exhibitor category.

The Chairman’s award was given to Global Industries Limited, while ZCCM-Investment Holdings (ZCCM-IH) won the best exhibitor for the mining industry, with First Quantum Minerals (FQM) winning the second prize.

In the non-banking financial institutions best exhibitor, went to National Pensions Scheme Authority while Workers Compensation Fund Control Board scooped the second prize.

The Zambia National Commercial Bank (ZANACO) won the banking institutions best exhibitor followed by Indo-Zambia Bank.

The Zambia Forest and Forestry Industries Corporation (ZAFFICO) won the best exhibitor in the Agriculture category, followed by the Zambia Correctional Services (ZCS).

In the transport category, the Road Development Agency (RDA) walked away with the best exhibitor prize while National Airports Corporation scooped the second best prize.

Ministry of Chiefs and Traditional Affairs scooped the first prize in the Hospitality and Tourism category followed by Mulungushi Village.

Ndola City Council walked away with the first prize in the Government department exhibitor followed by Zambia Revenue Authority (ZRA).

Source: Times of Zambia

The ZCCM-IH athletics team put up a spirited fight, in the 10 kilometers relay race in the Inter-Company relay in Lusaka, 25 June 2016.

The ladies team of 8 comprised of Loisa Mbatha-Kakoma, Mwilu Muzyamba, Abigail Kabwe, Nalukui S. Kapangula, Anne Banda, Claudette Malambo & Yendeka Banda. The men’s team comprised of Stephen Phiri, Chabby Chabala, Tito Kalembo, Charles Mjumphi, Kasonde Bwalya, George Nyirenda, Ainsley Syanziba and Christopher Mutepuka.

TRYNESS TEMBO, Lusaka
THE Lusaka Stock Exchange (LuSE) last week registered a significant turnover, largely contributed by Madison Finance Services (MFS).

The LuSE witnessed significant increase in turnover of over K3 million, largely contributed by trade in MFS shares, which accounted for almost K2.4 million.

This is in comparison to the previous week of a market turnover of about K500,000 where a total of 225,424 shares were transacted in 63 trades.

According to the LuSE weekly update for June 17, 2016, the increase was despite recording share price loses in two companies.

LuSE recorded share price losses of K0.06 and K0.18 in Standard Chartered Zambia and Zambia Sugar, respectively, while a K0.10 price gain was recorded in Zambeef.

Overall trading, however, occurred in 10 companies with a total of 1,137,134 shares worth K3,054,920 transacted in 85 trades.

Of the total turnover, Madison Finance Services accounted for a bulk of K2,404,568, followed by Zambeef which recorded K338,433, Lafarge at K112,347, ZCCM-IH at K96,660 while National Breweries and Zanaco registered K28,665 and K20,000, respectively.

Others firms that recorded trades were Copperbelt Energy Corporation, British American Tobacco Zambia and Puma.

Meanwhile, the LuSE all-share index closed the week at 4,780.22 points, down by 0.67 percentage point from the previous close of 4,812.29 points.

During the period under review, bonds valued at K52,795,000 changed hands in seven trades, yielding market value sales of K34,212,000 compared to the previous week which registered 11 trades in bonds valued at K63.6 million, yielding K42,096,000.

On market capitalisation, the LuSE last week closed at K60.4 billion, which translates into a decrease from the previous week when the local bourse registered market stock worth K60.5 billion.

Source: Zambia Daily Mail

ZCCM Investment Holdings PLC (ZCCM-IH) says it has embarked on an ambitious diversification programme which will see its interests extended to the manufacturing, power generation, agriculture and real estate sectors.

ZCCM-IH Chief Executive Officer, Dr. Pius Kasolo told delegates to the 2016 Investing in African Mining Indaba in Cape Town yesterday that the diversification programme as part of rebranding from a mining company which the institution has continued to be associated with.

Speaking when he made a presentation entitled ‘Diversifying the Investment Portfolio’, Dr. Kasolo said the programme has advanced with work on establishing Zambia’s biggest cement manufacturing company already started.

Dr. Kasolo said financing for the 5, 000 tonnes-per day-cement company which will be established at Ndola Lime Company Limited, has already been secured. The plant will be self-sufficient in electricity as it will have a 52 megawatt power plant constructed alongside the main project.

He said the cement company will utilise about 22 megawatts of the electricity generated while the excess will be sold.

Dr. Kasolo said that apart from helping to bring down the price of cement, the plan was also to cushion the suffering of mine employees on the Copperbelt who recently lost their jobs through retrenchment.

“The main task I was given at my appointment was to industrialise Zambia and I can assure you that we have started and we are well on course. It should be acknowledged that the lower the price of cement is, the more development you trigger because everyone including private citizens will be involved in construction,” Dr. Kasolo said.

He said, to leverage on the power deficit, ZCCM- IH has diversified into thermal power generation through Maamba Collieries Limited, in which it held 35% shareholding.

It currently has shareholding portfolio in 16 companies, including biggest mines such as Kansanshi mining plc, Mopani copper mines and Konkola copper mines.

ZCCM-IH, with its partners has invested close to $850 million at Maamba Collieries Ltd, to construct a thermal power plant which will produce 300MW of power by mid-2016 and 600MW once completed.

ZCCM IH has about, 2000Hetares of land in Lufwanyama with a water frontage on the Copperbelt Province, which has great potential for farming high yielding crops such as soyabeans, oilseeds and maize or livestock (cows and pigs) and fisheries (aquaculture).

“When privatisation occurred assets were issued to residents and companies as a form of payment. Certain assets were forgotten, and upon discovering that we have a number of properties, we decided to capitalise on them, upgrading and renting them out.”

Separately, Dr. Kasolo earlier disclosed that ZCCM-IH had partnered with locals in Luapula Province to explore for manganese. The project has already been funded and would soon start mining operations.

He said ZCCM-IH had a community gold mining project in North-western Province in which they had partnered with Chief Kasempa and with Chief Ingwe community in the Katoka Mema Gold Mining project.

Dr. Kasolo is part of the Zambian delegation led by Minister of Mines and Minerals Development, Mr. Christopher Yaluma, at the world’s biggest mining conference which is underway in Cape Town until 11th February, 2016.

Others are Deputy Minister of Mines and Mineral Resources, Mr. Richard Musukwa; Deputy Minister of Finance, Mr. Christopher Mvunga and Zambia’s High Commissioner to South Africa His Excellency Mr. Emmanuel Mwamba.

Mr. Mwamba stated that Zambia would present a strong and emphatic case to underline the fact that the country remained one of the most suitable, strong, and stable investment destinations in the world.
He pointed out that the Mining Indaba presented a perfect opportunity to market Zambia to the rest of the World.

He explained that Mr. Yaluma and his team had a busy week during which they will make presentations and speak at various highly strategic panel discussions.

Mr. Yaluma started with speaking at the 4th Annual Ministerial Symposium on Sunday; on 9th February, the Minister will attend the World Bank-organised Special Information Session dubbed Good Governance is Good Business while on 10th February, Mr Yaluma will lead a high-powered group that will team-up to make a country case study presentation on Zambia. Others in the team are Mr. Mvunga; Vedanta Resources Plc Chief Executive Officer, Mr. Tom Albanese; Dr. Kasolo; Gemfields Chief Executive Officer, and Mr. Ian Harebottle.

Mr. Yaluma has also held side meetings with various potential investors and interviews with both local and international media during which he laid out challenges and solutions being pursued by Government in the mining sector.

The conference has attracted speakers from all over the world that include Ministers of Mines, representatives from mine houses, the International Monetary Fund, the World Bank, Africa Development Bank and others.

Source: LusakaTimes

ZCCM Investments Holdings Plc has reported a loss after tax of K987 million for the year ended 31 March 2015. ZCCM-IH reported a Group operating loss of K2.2 billion in 2015 compared to an operating profit of K871 million in 2014.

The firm blamed the losses to the fall in Copper prices which dropped from USD 6,289 in 2014 to USD 4,701 in 2015.

As a result, dividend income was only K45 million in 2015 compared to K803 million in 2014, amid declined revenues and production, in most of ZCCM-IH’s investee companies.

The operating loss in 2015, was mainly as a result of an impairment loss of K2.1 billion, recognized in respect of amounts receivable from Konkola Copper Mines of K719 million and Lubambe Copper Mines of K705 million.

A further impairment of K513.8 million was recorded, as a result of a decline in the fair value of the investment in KCM, in view of continued challenges at the mine.

And on improved copper prices, ZCCM – IH says copper prices have continued to be depressed in the recent past, and recovery is slow.
“The copper price has recently shown some recovery, however, it is expected that the impact on revenue will be slow. Hence, in order to move from relying on passive income and being dependent on mining, we have embarked on diversifying our investment portfolio, by actively looking for investment opportunities beyond mining, into other sectors such as energy, agriculture and real estate, so that the company can create and maximize shareholder value,” it said.

It added, “For instance, in energy, the Maamba Project is expected to be completed in June this year. ZCCM-IH owns 35% of Maamba Collieries Limited. ZCCM-IH and its partner have invested close to USD 850 million at Maamba Collieries Ltd, into this thermal power plant which will be producing 300MW of power.”

“Further, the recapitalization of Ndola Lime Company Limited has advanced, with the project undergoing hot commissioning. ZCCM-IH is reviewing the operations of Ndola Lime with a view to streamlining its operations and make it competitive and efficient.”

It added, “As part of diversification into real estate, ZCCM-IH recently acquired an investment property that will be leased out to generate passive income. ZCCM-IH has also been identifying a number of strategic legacy properties, with a view of bringing them to use and turn them into income generation projects. Further, ZCCM-IH is currently looking for strategic partners to invest in agricultural projects.

And Lubambe Copper Mine also reported revenue for the financial year ended 31st march 2015, at K1, 071 million as compared to K1,483 million in 2014.

It also reported a loss for the same period of USD78 million, compared to USD39 million in 2014.

The main challenge that Lubambe faced during the financial year under review was the dilution of concentrates.

Due to the above financial and operational challenges, Lubambe was unable to make repayments on the K705 million shareholder loan, and this loan was thus fully impaired as at 31st march 2015.

The way forward is to pursue the rights of ZCCM-IH PLC under the shareholder loan agreement.

On Konkola Copper Mines, the firm reported a net loss of USD178.5 million for the financial year ended 31st March 2015, compared to USD89.2 million loss in 2014.

Revenue reported for the year, was USD1, 077.1 million, down 15.0% (2014: USD1, 271.4 million) due to a decline in the sale of copper and copper related products.

Further, copper sales declined by 15.9% and sale of precious metals in slimes declined by 33.9%.
Total finished copper production during the year was 168,923 MT compared to 177,018 MT in 2014.

During the year under review, KCM faced acute operational and financial challenges including cash flow constraints that resulted in KCM purchasing third party concentrates in smaller quantities than what was sought. KCM is currently focusing on increasing production volumes, and addressing productivity across all of its operations.

To this end, KCM has been implementing various interventions, to improve the overall operating performance and drive higher equipment availability and utilization.

Source: Lusaka Times