Glencore plans to invest 1.1 billion dollars in Zambia's mines

Global mining giant Glencore said it will invest over $1.1 billion in Zambia to sink three copper mine shafts.

Glencore to invest $1.1 billion in three new shafts in Zambia – Reuters https://t.co/iXGKmLN2mj

— Zambian Economist (@zambianecon) March 30, 2016

The mining shafts will be fitted with new technology that will extend mine life by over 25 years.

The investments will be over the next 2 years and it is expected that Mopani Copper Mines would be turned into a world-class mining operation by 2023.

“We firmly believe that we shall be able to overcome the challenges that we face today as a company and become profitable and operationally efficient,” Mopani said in a statement.

Mopani added that Glencore has invested over $3 billion in upgrading infrastructure and in major capital expansion programmes since 2000.

Following the news, Zambia’s Kwacha gained 1.3 percent to the dollar.

Africa’s second largest copper producer has been facing electricity shortages and weak copper prices putting pressure on the country’s mining industry.

Reuters