Glencore’s Zambia subsidiary resumes mining activities for 90 days
The Mopani Copper Mines (MCM), a Glencore’s (GLNCY) Zambian subsidiary, announced on Sunday that it will continue its mining activities for 90 days. However, the company will still proceed with its initial plan to postpone operations.
Glencore’s disclosure of its plan to put MCM under “care and maintenance” amid the virus outbreak alongside other issues gained the ire of the people for the Zambian government. The administration threatened to cancel its licenses for not giving adequate warnings.
“Mopani Copper Mines Plc. can confirm that constructive discussions have taken place with the Zambian government. During the 90-day period, Mopani will continue to engage with the government on potential solutions to its current challenges,” Nebert Mulenga, Mopani’s PR Manager, said in a statement.
According to Richard Musukwa, the Minister of Mines and Minerals Development, the Zambian administration would proceed with its discussions with Mopani to understand its situation and look for a long-term solution moving forward.
“A multisectoral team will work with Mopani to critically analyze the entire mine value chain to structure a survival plan,” the minister added.