KONKOLA Copper Mines (KCM) is focusing on reducing costs and increasing production so that it can survive the difficult times the mining industry is currently experiencing when the copper price at the London Metal Exchange (LME) is low, KCM Vice-President for Local Economic Development David Paterson has said.
Mr Paterson said KCM has no control over the Copper price at the LME and so in order to survive the difficult times created by the low copper prices at the LME, the giant mining company was focusing on reducing costs and increasing production.
He was speaking yesterday at KCM Headquarters in Chingola after journalists from various media institutions completed their three days tour of various departments of the giant mining company.
“Apart from reducing costs and increasing production in order to survive the difficult times which have come about because of the low copper price at the LME, KCM was also investing in various areas of production such as Cat 2 and F and D areas of the Chingola open pit in order to expand and increase production.
“The investment at the Open-pit includes the purchase of the four excavators, Tipper trucks and other equipment which would help to increase production,” Mr Paterson said.
He said the current increase of the Copper price at the LME was to bring hope to the mining industry.
Mr Paterson however said the mining company would like to see a situation where the price continued to go higher and then stabilizes as opposed to fluctuating. He said the giant mining company had decided to place the Nchanga Underground Mine on Care and Maintenance due to high cost of production, especially now when the copper prices was low.
When asked at what price of Copper per tonne the mining company would resume full capacity production at Nchanga Underground, Mr Paterson said he could not state exactly, but hoped for a good price that could make the operations of the mine viable.
“Well, i can’t tell you exactly, but i can only say a good price where a mining could afford to carry out its operations without running at a loss,” He said.