In a pivotal move, Konkola Copper Mines Plc (KCM) has begun paying local authorities and other creditors under the newly implemented Creditors’ Scheme of Arrangement. According to a circular by Evelyn Mulenga, Chingola Municipal Council Assistant Public Relations Manager, this development signifies a major step in the company’s efforts to honor its financial commitments and bolster relationships with key stakeholders.
Manish Saxena, KCM’s Chief Financial Officer, emphasized the importance of collaboration with local communities hosting the mining operations. “Our commitment to paying Class 1 and Class 2 creditors is expected to positively impact the financial health of various local councils and businesses awaiting their dues,” stated Saxena. He assured that the payment process would be expedited in line with the guidelines of the Scheme of Arrangement, ensuring all creditors receive timely compensation.
Among the beneficiaries, Chingola Municipal Council has expressed its gratitude for being prioritized in the payment schedule. Town Clerk Mrs. Namukolo Kalufyanya highlighted the significance of this development for Chingola’s economic activities. “The revival of KCM marks the start of a new chapter. Prompt payment of all outstanding dues for retirees, statutory obligations, and service provision is central to our council’s purpose,” she said.
Mrs. Kalufyanya also expressed her appreciation to the government for facilitating KCM’s revival and pledged transparency in the disbursement of the funds, ensuring they benefit the local community.
The circular detailed the payments made by KCM: Twenty-Six Million Eight Hundred and Nine Thousand Five Hundred and Fifty-Three Kwacha (K 26,809,553) to Chingola Municipal Council, Eight Million One Hundred Eighty Thousand Two Hundred Ninety-Eight Kwacha and Eighteen Ngwee (K 8,180,298.18) to Chililabombwe Municipal Council, and Fourteen Million Nine Hundred Fifty-Eight Thousand Six Hundred and Fifty-Three Kwacha and Ninety-Six Ngwee (K 14,958,653.96) to Kitwe City Council.
This significant step by KCM and its parent company, Vedanta Resources Limited, marks a turning point in meeting financial obligations and strengthening ties with local stakeholders. Stay tuned to ZambianHub for more updates on KCM’s initiatives and their impact on local communities.
