GOVT CHALLENGED TO EXPLAIN NEW MOPANI DEAL
By Michael Kaluba
Social Anthropologist Dr. James Musonda has called on government to explain the new Mopani deal and how the mine will benefit Zambia beyond the few jobs, outlining projected revenue, royalties and taxes.
ZCCM-IH yesterday announced that it will hold 49 percent shares in Mopani while International Resources Holding -RSC- limited will hold 51 percent and invest over $1.1 billion as a strategic equity partner.
Dr. Musonda notes that while ZCCM-IH will have increased shareholding in Mopani, the responsibility of the $1.5 billion Glencore still remains for Zambia to deal with while the equity partner has only promised to provide loans for part payments.
He is however elated that Mopani will finally get funding for project development and working capital which has been lacking at the asset for years now and stalling major projects.
Dr. Musonda also says the deal looks good and has given Mopani a promising future especially that it seems to suggest that no retrenchments are being considered.
PHOENIX NEWS