Zambia Vedanta Unit Halts Operations At Underground Mine On Tax Concerns



Zambia's Konkola Copper Mines (KCM), majority owned by Vedanta Resources, suspended operations at its Nchanga mine following the introduction of an import duty on copper concentrates, the company said.

Zambia, Africa's No.2 copper producer, introduced new mining duties, increased royalties and plans to replace Value Added Tax (VAT) with a sales tax by April to help bring down mounting debt.

KCM said in a note to employees, seen by Reuters, that operations at the mine would be suspended from Jan. 4 due to low availability of acid as a result of rationalised operations at its Nchanga smelter.