Vedanta Resources Ltd. (Vedanta) on Tuesday said it will restart copper operations in Zambia after a government decision in favour of the company.
In a statement, the metal and mining giant said: "The ownership and management of Konkola Copper Mines has been returned to the company following a historic decision by the Government of the Republic of Zambia."
KCM is a world-class asset having reserves of 16 million tonnes of contained copper. It has a copper grade of 2.3%, the company said.
Vedanta Resources Chairman Anil Agarwal said, "I welcome the decision of the Government of the Republic of Zambia to reinstate Vedanta at KCM. We have been committed to KCM since 2004 and believe that it is a prized asset in our portfolio."
Copper is a critical mineral for the technologies of the future. Vedanta will become a fully integrated producer of copper and cater to India's fast-growing demand while also making Zambia the leading producer of copper in the world, he added.
Currently, India is over 90% dependent on imports for copper concentrate and over 40% dependent on imports for finished copper.
"Vedanta will return to run and resuscitate the operations of KCM as the majority shareholders," Paul Kabuswe, Minister of Mines and Minerals Development, Republic of Zambia was quoted as saying in the statement.
Vedanta Resources owns 68.11% of its Indian subsidiary Vedanta Ltd., which has significant operations in oil and gas, zinc, iron ore, aluminium, power and copper in India.
The company also has plans to foray into the semiconductor business.
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