{"id":672948,"date":"2026-05-16T07:17:37","date_gmt":"2026-05-16T07:17:37","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/672948\/"},"modified":"2026-05-16T07:17:37","modified_gmt":"2026-05-16T07:17:37","slug":"zambia-moves-to-gain-more-control-of-its-mining-wealth-from-foreign-firms-but-says-it-wont-use-force","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/672948\/","title":{"rendered":"Zambia moves to gain more control of its mining wealth from foreign firms, but says it won\u2019t use force"},"content":{"rendered":"


\n The Southern African country\u2019s<\/a> state \u200binvestment company, ZCCM Investments Holdings, recently relayed its intent to increase its minority stakes in mining assets. \n <\/p>\n


\n This was made known by the company\u2019s CEO, Kakenenwa Muyangwa, who also noted that any such increase would be on commercial terms and not through forced sales. \n <\/p>\n


\n As seen on Reuters<\/a>, the Zambian investment firm currently boasts meager interests in many of the mining assets in the country, from as low as 10%, including those owned by \u200bChina Nonferrous Metal Mining Group, Canada’s First Quantum Minerals, and India’s Vedanta Resources. \n <\/p>\n


\n “There is \u2060clear intent for us to have substantial stakes in our existing mining assets,” Muyangwa told the aforementioned publication on \u200bThursday. \n <\/p>\n


\n Following the 2024 exit of EMR Capital from Lubambe Copper Mines and the subsequent sale of its majority shareholding to China’s JCHX Mining<\/a>, ZCCM-IH successfully increased its equity in the company from 20% to 30%. \n <\/p>\n


\n Furthermore, Muyangwa confirmed that ZCCM-IH is in the process of raising its stake from 20% to 25% in Mingomba Mining, a KoBold Metals project supported by American investors. \n <\/p>\n


\n “There’s a gradual move to higher ownership, where we believe being a significant \u200bminority gives you more say and leverage in the activities than if you have a very small \u200bminority stake,” Muyangwa stated. \n <\/p>\n


\n The CEO of the investment company noted that Zambia<\/a> is uninterested in securing ownership of operating mines in which it has no stake. \n <\/p>\n


\n Instead, the focus remains on assets under development, with shareholding structures to be determined based on the primary holder of the mining permit. \n <\/p>\n


\n “Where we already own the licence, we are entitled to ask for an element of a free carry before contributing to the rest of the capital that’s required to develop the mine,” said Muyangwa, adding that a \u200brange of 5%-15% would \u200bbe appropriate, with the \u2060exact level negotiable. \n <\/p>\n


\n Furthermore, the state investment firm is looking to employ its \u200broyalty-to-revenue model, first used with First Quantum Minerals at Kansanshi Mining, to other mining assets, to facilitate its growth plans. \n <\/p>\n


\n “What \u2060we are \u200btrying to do is to switch from dividends to royalties for \u200bpredictable cash flows that are insulated from operating cost inflation,” Muyangwa disclosed. \n <\/p>\n


\n At Kansanshi, where it has a 20% share, the company gets 3.1% of revenue in place of dividends. \n <\/p>\n


\n According to Muyangwa, this has generated $110 million since 2022. \n <\/p>\n","protected":false},"excerpt":{"rendered":" The Southern African country\u2019s state \u200binvestment company, ZCCM Investments Holdings, recently relayed its intent to increase its…\n","protected":false},"author":2,"featured_media":672949,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[45,49,48,46],"class_list":["post-672948","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-ca","tag-canada","tag-economy"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/672948","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=672948"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/672948\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/672949"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=672948"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=672948"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=672948"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}