The Vedanta Resources Chief Executive Officer, Deshnee Naidoo has confirmed that the company will increase its planned $1billion investment in Zambia’s Konkola Copper Mines (KCM) to fast-track new tailings leach facilities and expand copper production from secondary sources.
KCM already hosts one of the world’s largest tailings leach plants, with capacity of 70 000 t/y. The company is now de-bottlenecking operations and developing additional plants in the region, with spending to scale beyond the initial $1billion where required.
Vedanta regained control of KCM last year after a prolonged dispute with the Zambian government. The mine has resumed production, and with rich ore grades averaging 3.5% copper, output is expected to reach 300 000 t/y within the next two to three years.
Naidoo says rising global demand and anticipated copper prices of $11 000/t to $13 000/t next year make the timing favourable. Analysts agree the investment positions Vedanta strongly in a tightening market, with Zambia already the second-largest copper producer in Africa.
Vedanta has invested over $9.5 billion across global operations and recently added $1billion to expand Hindustan Zinc’s capacity to 2 million tonnes.
