Anglo American and Arc Minerals Partner to Exploit Copper Mine in Zambia
On 7 November 2024, Arc Minerals issued an update on its exploration activities with regards to its JV with Anglo American (LSE: AAL) to develop a copper mine in Zambia. In its communique, Arc Minerals revealed that its exploratory drilling at its mine in the Domes region have confirmed the presence of significant and visible #copper mineralization.
“I am very encouraged by the progress made during the drilling campaign by our JV partners, Anglo American, notably the identification of a new priority target and the fact that drilling is set to continue into the wet season.”
Arc Minerals Executive Chairman Nick von Schirnding
Arc Minerals (LSE.A: ARCM) has a 66% equity interest in Zamsort and Hando which hold a prospective licenses in the Zambian #Copperbelt. It also has a 72.5% interest in Zaco Investment which hold a copper and #cobalt license near the Zamsort’s mine.
Drilling targets in Cheyeza and Mkwazhi revealed anomalous concentration of minerals. The license covers an area of about 870 square kilometers and is situated in Mwinilunga, Domes Region, North Western Province within the Zambian #Copperbelt. Arc Minerals’ plot is actually close to the world-class copper mines of Barrick and First Quantum Minerals.
Recently, a delegation from Anglo American was in Zambia. Actually, Anglo American exited Zambia in 2002 by selling its stake in Konkola Copper mine. The Anglo American delegation paid a courtesy visit to Zambian President Hichilema and other stakeholder agencies.
President Hichilema welcomed mining giant Anglo American back to Zambia. He hopes Anglo will be able to contribute to achieve the government’s target to produce 3 million tonnes of copper annually soon.
Local inhabitants around Mwinilunga have deplored that Arc Minerals has not been forthcoming with community development, giving rise to a certain level of resentment and tension between the local population and the mining company.
As per the JV agreement, Anglo American will provide a total USD 88.5 million in phases to support the exploration and exploitation of the mine. In return, Anglo American will secure a controlling stake of 51% in the venture.