ZAMBIA’S state mining company is developing plans to trade commodities on international markets, seeking to capture greater value from the country’s growing appeal as a critical minerals destination, said Bloomberg News.
ZCCM Investments Holdings wants to access production from its portfolio companies equivalent to its ownership stakes and sell the metal internationally, CEO Kakenenwa Muyangwa told Bloomberg News on the sidelines of the Mining Indaba conference in Cape Town last week.
“There’s significant value being attached to having access to physical units of production,” Muyangwa said. “And we’re in a position where we can participate in that.”
ZCCM-IH holds minority stakes in copper mines owned by Vedanta Resources and International Resources Holdings’ Mopani Copper Mines, among others. Its trading strategy could operate separately from a partnership the Zambian government established with commodity trader Mercuria at the end of 2024, Muyangwa said.
The company is also seeking to expand a royalty model it pioneered with First Quantum Minerals in 2023, under which it receives a 3.1% royalty in lieu of dividends for its 20% stake in the Kansanshi mine. ZCCM-IH has approached China Nonferrous Metal Mining and JCHX Mining Management about adopting similar arrangements.
“It’s been a great idea and has worked out beautifully,” Muyangwa said. “We want to see how we can expand that into other companies.”
