COUNTRY’S MINING SECTOR OUTLOOK POSITIVE – 2024 MINISTERIAL ANNUAL REPORT STATES
✅The Ministry of Mines and Mineral Development 2024 annual report has revealed that the mining sector’s performance in 2024 recorded an increase of 12 percent in copper production.
✅Total production for both large scale production and small-scale producers increased from 732,583.45 tonnes in 2023 to 820,676.34 in 2024.
✅During the period under review, the average price of copper on the international market was relative higher at $9,143.49 United States Dollars per tonne compared to the same period in 2023 at $8,482.77 United States Dollars per tonne.
✅However, manganese production declined by 21.1 percent to 134,932.48 tonnes in 2024 from 171, 066 tonnes in 2023.
MINING CADESTRE DEPARTMENT
✅Under the Mining Cadestre Department, the report states that the Ministry recorded an increase in the collection of non-tax revenues of 69.7 percent from k67.5 million in 2023 to k114.5 million in 2024.
✅The 2024 collection was over by 64.2 percent against the expected target of k69.8 million.
✅The ministry collected more than he expected revenue due to clients paying for non-compliance on the defaulted mining and non-mining rights.
✅Further, the Ministry approved 2,551 out of 3,307 applications for mining and non-mining rights through the Mining Licenses Committee as by December 2024.
✅There was also an increase of mining rights from the year 2023 to 2024 from 1,218 to 2,178 license respectively representing a 78.6% increase.
✅The types of license covered include artisanal mining rights, small scale exploration licenses, large scale exploitation license, small scale mining licenses, large scale mining license and mineral processing licenses.
MINES DEVELOPMENT
✅The revenue collected from the issuance of the non-mining rights also marginalized increased by 31.6 percent from K2.8 million in 2023 to K3.7 in 2024.
✅The increase in revenue was not only due to an increase in the number of permits issued but also due to upward adjustments in penalty fees units associated with non-mining rights which were effected mid-way.
MINE ACCIDENTS
✅There was a decrease in the number of accidents but an increase in the number of victims in the year 2024 compared to 2023.
✅A total of 57 accidents resulting in 98 victims in 2024 as compared to 2023 which 62 accidents with 72 victims were recorded during the period.
✅The report went on to say there was a decrease in fatal accidents but an increase in number of fatal accident victims. His was attributed to an increase in illegal mining activities particularly in the artisanal and small-scale mines subsector.
GEMSTONES AUCTIONS
✅The ministry also participated in eight auctions in 2024 compared to seven in 2023. The virtual sales were conducted by Kagem Mining Limited in India while Grizzly Mining Limited conducted three auctions, one in Dubai and two in Kitwe.
✅Two were conducted by Pridegem al in Kitwe and Tubombeshe, a new entrant conducted one in Lufwanyama district on the Copperbelt.
✅Despite having a higher number of auctions, revenue in 2024 decreased by 45 percent compared to 2023.
✅The decrease in sale was attributed to higher volumes of gemstones auctioned in 2024 which had a negative impact on offers.
✅The aggregated auction sales for the gemstones in 2023 was $172 million United States Dollars whilst the sales in 2024 were $94.44 million United States Dollars, a reduction by 45 percent.