By NATION REPORTER
VEDANTA Resources has been asked to take up all the current liabilities that Konkola Copper Mine (KCM) accrued when it was under the supervisor of the provisional liquidator, Paul Kabuswe has said.
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Mr Kabuswe, the Minister of Mines and Mineral Development says the agreement with Vedanta was that they would get the asset as it was, meaning that it was going to take over all the liabilities of the mine.
He said Vedanta was not dictating anything to Government and they were neither asking for any compensation.
“Who can even allow that, we are smart people with a smart President who has been negotiating deals all his life and can he allow them to start demanding for things, whoever is demanding this is just trying to cause panic,” Mr Kabuswe said.
Mr Kabuswe said local suppliers and contractors will be settled 100 percent through the US$250 million because the agreement they had was that before Vedanta even steps foot on the KCM again they would be paid.
And when asked if the US$250 was enough to pay off all the suppliers and contractors when it owes Zesco over US$400 million and owes Copperbelt Energy Corporation US$160 million, Mr Kabuswe said there was a creditor’s scheme where all the issues will be taken care off.
He said, this year was a merry time for local suppliers and contractors.
He assured the contractors and suppliers that the investor was more than ready to settle the outstanding debt.
Meanwhile, the Zambians for Unity Peace and Development (ZUPED) president, Ronnie Jere, urged parties involved in the KCM transition to expedite the process.
“We urge all those involved in this transition process to expedite the process so that we begin to allay some assertions because they are bad to the development of this country and they are bad to the integrity of the Head of State.
“We know that Vedanta has made promises, and it’s getting back to KCM very soon. But we want to urge the government and those responsible for drafting these agreements to quickly work on them,” Mr Jere said.
He said Vedanta has committed to inject US$1 billion in KCM and a further US$250 million to offset local suppliers and contractors’ credits, but this can only be achieved after completion of all processes, including setting up of a board and appointment of management.
“We are confident that all pending issues will be resolved within the stipulated time frame,” Mr Jere said.
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