Government reiterates commitment to mining - Zambian Mining News
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VOLUME 14 / ISSUE 82 ZMW 29.50 / US $ 5.30 MARCH - APRIL 2019 ZAMBIAN MINING MAGAZINE Government reiterates commitment to mining Activist reports damaging to Adhering to correct underground Combined velocity, temperature FQM 7 roof bolt placement 14 sensor hits the market 25
March - April 2019
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2 Zambian Mining Magazine | www.miningnewszambia.com
March - April 2019
Contents
Editorial Note
Government, miners should cement relations : ........................4
News Brief : ........................5
Cover Story
Government reiterates commitment to mining : ........................6
Local News
Activist reports damaging to FQM : ........................7
Bangweulu power plant opens : ........................7
First Quantum should open up on its CSR : ........................8-9
Poverty, toxic water and diseases as mine offer no hope of social transformation : ........................11-12
Zambia, Mozambique share gemstone experiences : ........................13
Regional News
Adhering to correct underground roof bolt placement : ........................14
Automobiles, electric bikes to spur metal production : ........................16
KSB expands its aftermarket services : ........................17
ADVERTISERS INDEX Ramaphosa, Akufo-Addo address historic Mining Indaba : ........................18
Corporate News
GROUP R HOLDINGS 2 Jet Demolition emerge leading global specialist : ........................19
C TRACK 4 Mining deal value dipped in 2018 : ........................20
Morgan Stanley leads mergers, acquisitions log : ........................21
DEMAG 9 & 28 Seal of approval for De Beers diamond verification instruments : ........................21
SEW-EURODRIVE providing clients with complete solutions : ........................22
CONDRA 10 Electricity demand motivate MCL to double capacity : ........................23-24
TRIBOLOGY AT WORK 15
Trends & Technology
EML 16
Combined velocity, temperature sensor hits the market : ........................25
MINROM 17 Fluke’s scanner delivers accuracy for critical measurements : ........................26
High resolution digital manometer hits the market : ........................26
KSB 18 Hump hose solution for giant excavators now on offer : ........................26
NYUMBA 25 Maxam showcase latest blasting tech at Indaba : ........................27
New handheld control valve tester simplifies testing : ........................27
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Precious Chimbuchimbu 16 Mayfair Crescent,
Associate Editor Agnes Mumba Parklands, Kitwe
Ian Barnes Chilopa Majorie Kasoma
Doris Likonde
Editorial Contributor(s) Dowell Sichitalwe
Esnala Banda Don Chulu
Potipher Tembo Nkosilathi Mudiyi
Obert Simwanza Musa Chigiji
Jeffrey Sinkamba Joseph Nyirenda
Sam Phiri Michael Chiku Mondoloka
Joshua Chibwe
Zambian Mining Magazine | www.miningnewszambia.com 3
March - April 2019
Editorial Note
Government, miners should cement relations
discussions and see to it that uncertainties Our think-tanks have seen an opportunity in
that haunt the industry are put to rest, being increasing taxes and such has potential to
the economic backbone mining should not hurt miners and drive back potential inves-
be allowed to suffer impediments. tors into the country and the only solution
is address the elephant in the room – rising
The recent hikes to mining taxes, which public debt.
is part of efforts to bring down mounting
public debt has far reaching effects on the Maybe its high-time government lure the
economy. private sector think-tanks into their board-
rooms, yes headhunting solution finders is
We are not saying government should not the way to go at this moment, one way or
reap from the mining sector but let there be the other the elephant in the room needs to
a mutual understanding why government be addressed.
need to hike the taxes and what benefits
such will bring to the economy. We hope the best and better solution will be
found soon.
The ballooning public debt also has its own
threats to the economy and at this moment Enjoy the read and remember to share
A
s the mining industry continues to
our authorities cannot shield the storm from your views, comments and opinions on
be the country’s economic back-
the rising debt. drewmara@gmail.com
bone, a lot more affinity is called
for between government and the miners.
News that were recently shared by Richard
Musukwa, Minister of Mine that government
intends to ensure a stable, reliable, simple
and predictable fiscal regime to support the
mining industry, is a welcome development.
Though this commitment comes at a time,
the industry is standing on a shaky ground,
as a result of the new tax regime in the min-
ing sector.
It’s highly appreciated that Minister Musuk-
wa knows that the country needs to run and
operate a mining sector with a ‘stable, reli-
able, simple and predictable fiscal regime
to support the industry’. Minister let your
commitment to engage the industry, hold
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March - April 2019
News Briefs
Arc raises £2.2m for copper project Henry Kapata, Zambia Electricity Supply Corporation (ZESCO)
spokesperson recently told media that power generation capacity
Arc Resources has raised £2.2-million through the placing of at the world’s largest man made reservoir has been restricted to
73.6-million units to fund exploration and development work on the about half.
company’s Zamsort copper project.
Low power generation will in turn affect the production and op-
“This is a very good outcome for us and as a result we will be accel- erations in mining houses thereby contributing to already existing
erating work in respect of Cheyeza West and other key targets and challenges such as introduced taxes, threats of job cuts and force
will start a comprehensive drilling programme as soon as possible,” retirements of miners.
said Nick von Schirnding, Arc Resources’ Executive Chairperson.
The Kariba Dam is central to energy security in the form of hydro-
Nick von Schirnding said Arc was approached by two family offic- power electricity generated for Zimbabwe and Zambia and as the
es, one of which was already a shareholder for further funding to Zambezi continues to flow towards Mozambique it flows into the
progress the newly identified targets at the Zamsort copper project. Cahora Bassa Lake and then continues to provide electricity for
Mozambique and South Africa.
Gemfields’ emerald auction generates $10.8m
According to a report by the Institute of Risk Management South
Gemfields’ latest auction of predominantly commercial-quality Africa R(IRMSA), since 2010, Tractebel Engineering has been ad-
rough emeralds held recently in Lusaka generated millions. The de- vising the (ZRA) on matters pertaining to safety, maintenance and
velopment comes after 24 companies placing bids and generated satisfactory operation of the dam. “As the inflows into the Kariba
revenue of $10.8-million with an overall average value of $4.39/ct. and Kafue Gorge upper reservoirs are lower than the outflows, the
reservoirs’ storage is decreasing.”
The emeralds were extracted by Kagem Mining, which is 75 per-
cent-owned by Gemfields and 25 percent by the Industrial Devel- UK investors lured to Uchi dumpsite
opment Corporation.
United Kingdom based Copper Tree has announced plans to de-
“While the overall revenue and price per carat realised at our most velop a copper processing plant at the famous Uchi dumpsite in
recent auction in Lusaka has remained stable, it is clear that our Kitwe on the Copperbelt.
client base, who hail predominantly from Jaipur, in India, are still
navigating challenging conditions in their home market,” said Adri- Binwell Mpundu, Kitwe District Commissioner said Copper Tree is
an Banks, Gemfields Product and Sales Manager. set to commence construction of a copper processing plant in July.
The construction of the copper processing plant is expected to
He highlighted the importance of the Indian market with regard to boost job creation apart from stimulating economic activities in the
commercial-quality emeralds.“In addition, it is clear that a fierce area.
shareholder dispute at the principal alternative source of supply of
Zambian emeralds, GemCanton, is resulting in Zambian emeralds Joseph Chewe, the Mine workers Union of Zambia -MUZ- Presi-
entering the market at artificially low prices.” dent has welcomed the development, as a value addition project,
government has been calling for.
Lamasat placed on receivership
However, Professor Biemba Maliti , Copperbelt University business
African Banking Corporation trading as Atlas Mara Zambia has expert has urged Copper Tree to consider opening up an open pit
placed Lamasat International on receivership. The move is aimed mine at the Uchi dump site instead of a copper processing plant to
at recovering millions of kwacha owed to the bank in loans and protect the environment.
overdrafts.
The Uchi dumpsite is said to possess huge deposits of cobalt and
Atlas Mara has since appointed lawyer, Mwenya Andrew Mukupa copper.
to act as receiver manager for the company. The appointment is
made pursuant to the debenture and mortgage deeds dated 16th Xtract Resources signs exploration deal
March 2015 and 17th March 2015.
Xtract Resources has concluded a memorandum of agreement
Lamasat started as a small company but grew to be $200million with a consortium to jointly undertake exploration works on licence
company, a manufacture and supplier of pipes and fittings, water 8370-HQ-SML in Kajevu, Kasempa, North Western Province.
tanks, paint and polypropylene bags.
Registered in 2002, Lamasat initially was producing piping and The copper-gold licence at the Matrix project has a breccia vein
polypropylene bags but has expanded significantly over the past system which extends for at least three kilometres, with an initial
15 years. target section of 800 metres.
As the company grew, so did the range of products, Lamasat has According to Xtract, the agreement is to identify a copper-gold re-
over ten different departments all specialising in a product range, source within the next two years.
catering for several industries such as mines, construction, plumb-
ing, home improvement and domestic users. The exploration works programme is expected to cost up to USD1
million, which will be jointly funded, leading to Xtract will also ac-
Power generation reduce at Kariba quire a 50 percent stake in the project.
The decreasing water levels at Kariba Dam has decrease plunged “The iron oxide copper gold exploration potential in Zambia has
electricity generation for both Zambia and Zimbabwe, the local not been fully explored and several highly prospective opportuni-
utility company has announced. The two countries’ joint technical ties exist. We have identified the Matrix project as being high in
committee report issued has indicated the levels of water dropping potential and are currently investigating other areas which possess
to 43 percent of the dams’ capacity. similar potential,” said Colin Bird, Xtract Executive Chair.
Zambian Mining Magazine | www.miningnewszambia.com 5
March - April 2019
Cover Story
Government reiterates commitment to mining
G
overnment has announced inten- This comes amid government’s recent hike them of government’s continued support
tions to ensure a stable, reliable, to mining taxes, to bring down mounting for the mining sector.
simple and predictable fiscal re- public debt will have far reaching effects on
gime to support the mining industry. the economy. “The Zambian government, together with
Kagem, which is our flagship in terms of the
Richard Musukwa, the Minister of Mines The new tax regime with a 15 percent ex- emerald industry in Zambia remains com-
said opening the 31st Gemfields auc- port duty on precious metals - gold and mitted to giving you high quality products,
tion for emeralds from the Kagem Mine in gemstones, while copper and cobalt con- ad in so doing we would like to ensure there
Lufwanyama. centrate imports incur a five percent levy is transparency in the industry,” he said.
is already hurting activities in the mining
“Our government remains committed to en- sector. Analyst have already concluded that This year, Gemfields is celebrating ten years
sure we run and operate the mining sector the tax hikes will go down badly with mining of holding auctions of Zambian emeralds.
with a stable, reliable, simple and predict- companies.
able fiscal regime to support the industry. The company has also highlighted that pro-
Meanwhile at the current Gemfields auction ceeds of the February auction will be fully
“Government remains committed to engage 23 lots of over 800 kg of commercial qual- repatriated to Kagem in Zambia, with all
the industry and hold discussions, and see ity emeralds were on offer, attracting more royalties due to the government being paid
the peculiarities that arose so that we can than 30 buyers from across the world. on the full sales prices achieved at the auc-
always meet and resolve,” said Musukwa. Musukwa applauded buyers who had trav- tion.
elled to be part of the auction and assured
6 Zambian Mining Magazine | www.miningnewszambia.com
March - April 2019
Local News
F
irst Quantum Minerals (FQM) has allayed reports by representative and statistically invalid sample of people. “It is often
non-governmental organisations (NGOs) that appear to the handful of people with an ‘axe to grind’ that are most vocal and
be ‘calculated to destabilise the trust built up with local more likely to be quoted by the researchers, he said.
people’.
Chinkuli said it is entirely right and proper that mines are open
The company said the poorly researched reports fuel unrest, dis- to scrutiny and held accountable for their actions citing that First
tort the views of the majority of local people, and give a dispropor- Quantum goes to great lengths to ensure it is transparent in its
tionate profile to a small number of people. corporate operations and sustainability programmes.
“What is more concerning are NGOs – often backed by foreign However he bemoaned that some reports risk destabilising the re-
donors and with little understanding of the issues – that make lationships built up with communities around mines over a long
spurious claims without robust evidence-based research or sound period of time.
methodologies,” said General Kingsley Chinkuli FQM country
manager. He called for studies to be executed in a more academically rig-
orous manner, overseen by a peer-review system that enhances
The company further said such reports are often based on a few understanding of the subject.
days on the ground conducting qualitative ‘interviews’ with an un-
Bangweulu power plant opens
P
resident Edgar Lungu commissioned the first ever large Mateyo Kaluba, IDC Chief Executive Officer assured President
scale solar plant in the country. The 54 Megawatts Lungu that the next solar plants will not take long.
Bangweulu Solar power plant located in South of Lusaka
was constructed a cost of US$56 million, the multi economic facili- The France based company-Neoen Chief Executive Officer Xavier
ty is expected to power approximately 30,000 households. Barbaro made mention that the Bangweulu solar plant is one of
the biggest solar power plants, the France based company Neoen
According to the developers, the Bangweulu solar power plant cur- has worked on.
rently has 453, 000 solar modules and will inject approximately 100
gigawatts of electricity into the national grid annually at a tariff of Meanwhile French and US Ambassadors have offered support to
US60 cents per megawatt hour. Zambia’s venture into renewable energy.
Commissioning the plant, President Lungu applauded the finan-
ciers, developers and all stakeholders and directed the Industrial
Development Corporation (IDC) to accelerate other renewable en-
ergy projects which are in the pipeline.
Lungu also observed the need for ZESCO to co-exist with the pri-
vate sector in developing the country’s energy sector.
The President further acknowledged that the private sector in the
country has shown great interest to invest in power generation.
With the high demand for power local and in the region, Lungu
said there is need to leverage the opportunity by attracting more
players in the country’s energy sector.
Zambian Mining Magazine | www.miningnewszambia.com 7
March - April 2019
Local News
First Quantum should open up on its CSR
By Dr. CLAUDE KABEMBA
A
frican civil society organisations It is equally imperative for civil society, The report found that FQM is failing in its
that monitor extractive industries when assessing the performance of a commitment to CSR. It is clear from this
have tended to focus their work company, to go beyond the financial bot- study that the implementation of CSR is
on the financial bottom line of mining tom line and examine the social and en- top-down, and rarely involves adequate
companies, in an approach that has be- vironmental policies and practices of that consultation with communities, civil soci-
come known as “follow the money”. company. This is known as triple bottom ety or employees.
line accounting.
The work has been on illicit financial Contrary to FQM claims that it is a re-
flows, on revenue transparency, and on The work of monitoring CSR, human sponsible company, the report finds that
open contracts. This work, while critical rights, and environmental impact is not Kansanshi mine’s activities, according to
and necessary, has diverted resources easy. It involves confronting powerful communities, have negatively affected
from civil society’s traditional monitoring multi-national companies and those civil water and land, impacting on agriculture
work on human rights. society organisations, research institu- and food security. The report reveals a
tions and foundations that are on the pay- stark contrast between the wealth that
Civil society organisations seldom report roll of those companies or receive some FQM extracts for export and the pover-
on mining companies’ corporate social kind of compensation in one way or the ty levels in the surrounding communities.
responsibility (CSR). other. The company prioritises the public rela-
tions and advertising value of CSR over
Not enough work is being done on the Recently, the Southern Africa Resource the needs of Zambians who work in, and
impact that mining activities have on the Watch Published a report entitled “Living live close to the mine.
environment and on local communities. in a Parallel Universe: First Quantum ver-
Mining companies have been allowed to sus the mining communities in Zambia” CSR is premised upon the notion of social
implement their CSR programmes with- based on interviews with civil society, accountability and proper monitoring and
out the scrutiny of civil society. community members and labour. evaluation, which must include an open-
ness to independent scrutiny. The com-
In most cases, all we see are glossy an- The report looks at the impact of First pany has tried to prevent SARWatch from
nual reports of mining showing smiling Quantum Minerals (FQM) activities on the publishing the report, arguing that it has
faces of miners and selected members of communities. The report focuses only on factual errors and that the company was
the community but telling nothing of the one operation, the Kansanshi Mine. Kan- not consulted. This not true. Before un-
human rights violations that usually exist sanshi Copper and Gold Mine is currently dertaking the Solwezi study, SARWatch
where mining occurs. owned by ZCMM/IH and FQM, with 20 contacted the company, and requested
per cent and 80 per cent of shares re- to meet and discuss visiting the mine and
Considering the difficulties that most Af- spectively. It produces 400 000 tons of the social investment projects.
rican states face in providing services copper and more than 120 000 ounces of
(such as clean water, clinics, schools and gold per year. The company representatives agreed
food security) to citizens, and especially but then failed to show up. SARWatch
to communities in remote areas, it is im- With this production, it is the country’s again requested that the company meet
perative for mining companies to invest largest taxpayer. Between 2005 and 2015, researchers when they were in the field.
in the communities from which they are the mine contributed more than US$3 bil- The company responded by saying that
extracting wealth. lion in tax to the Zambian state. there was nobody available to meet in
8 Zambian Mining Magazine | www.miningnewszambia.com
March - April 2019
Local News
Solwezi as all the key people were out of itself. If there is any bias in the report, that the absence of agreed scientific testing
the country. is largely the result of the company’s atti- standards.
tude to the research.
They refused to provide the researchers The report has recommended that the
even with Zambians managers who could FQM has chosen to dispute mainly the Zambian government provide the nec-
speak on behalf of the company. assertion that water consumed by the essary financial, human and logistical
communities might be polluted. It is si- support to the Zambian Environmental
The company tried to prevent the publi- lent on other important findings of the Management Agency (ZEMA) to be able
cation of the report, claiming that it was report, such building schools with no toi- to discharge its duty of monitoring and
not consulted and that the report contains lets, maintaining a school with no toilets, evaluating the impact of mining compa-
factual inaccuracies. broken windows or no doors, failing to re- nies’ activities without fear or favour.
locate a community that clearly needs to
Although the company was able to be relocated, failing to provide the agreed It has also recommended that ZEMA ur-
provide broad outlines of its CSR pro- amenities to a community that has been gently establish whether underground
grammes through email correspondence, relocated and pushing a community out water in mining areas, especially in Kan-
and details available on websites and in of its land without consultation and the sanshi, is polluted or not, and reassure
annual sustainability reports, the compa- expansion of the mine’s tailing dam, communities. As for other issues raised in
ny was not prepared to give any time to which is pushing communities off their the report, SARWatch would like to invite
the researchers involved in assessing its land and affecting food security. First Quantum Minerals (FQM) to conduct
CSR programmes. a joint validation mission with SARW to
One of the recommendations of the report verify the findings of the report.
Apart from the lack of courtesy that has is that the Zambia Environmental Man-
been displayed, such an approach to ex- agement Agency (ZEMA) must urgently
ternal enquiry is likely to be counterpro- establish whether underground water in *Dr Claude Kabemba is the Executive
ductive in the long term. At the very least, areas around Kansanshi is polluted or not. Director of the Southern Africa Re-
it ensures that the views of local com- source Watch.
munities and civil society, and unions are FQM has chosen to focus on the water
heard without the views of the company because this issue is easily contested in
Zambian Mining Magazine | www.miningnewszambia.com 9
March - April 2019
Local News
Poverty, toxic water and diseases as mine
offer no hope of social transformation
By EQWARD LANGE*
F
irst Quantum Minerals and the state. That’s where the good story ends. years. According to people in the com-
Zambian government have been munity, the local authority and the De-
involved in multiple discussions, The SARW report has found that Kan- partment of Water Affairs take samples
ranging from the use of dividends by sanshi activities are polluting water and year after year but have never shared the
First Quantum Mine (FQM) without prior land, undermining food security. Mining results with the people directly affected.
consent from the state company Zambia communities adjacent to the mine are First Quantum might be the biggest tax
Consolidated Copper Mines Investment convinced that the hand-pump wells or contributor to Zambian government rev-
Holdings (ZCCM-IH) with which it is in a boreholes donated by First Quantum ac- enue, but the environmental and social
joint venture, and threats to cut labour cess heavily contaminated water as a re- burden of mining reduces the benefits of
due to changes in the tax regime, to First sult of the proximity of tailing dams that this when associated costs are consid-
Quantum bidding to buy ZCCM/IH’s 20 the company has been extending without ered.
percent share in Kansanshi mine. prior consultation with the community.
People are convinced that underground The people living around Kansanshi mine
While these discussions are taking place, water, which they rely on for drinking and accuse the company of failing to provide
the impact of First Quantum activities on washing, is polluted. adequate social amenities. According to
mining communities presents another the company, these communities have
front for engagement between the state Members of the community believe that received support in different sectors –
and the company. A report published by the polluted water could be the source of health, education, entrepreneurship, and
the Southern Africa Resource Watch en- persistent diarrhoea in the area. One of housing for displaced people, agricultural
titled Living in a Parallel Universe: First the main concerns for these affected peo- support, and water provision – as part of
Quantum versus the mining communities ple, who are incapable of fighting against its corporate social responsibility (CSR)
in Zambia has exposed the inadequacy of this powerful company, is the non-avail- programme.
First Quantum’s social and environmental ability of alternative land for them. The
interventions. proximity of the tailing dams has also af- Kansanshi mine prides itself on its so-
fected the quality of the air in the villages. cial investment model and the positive
Contrary to First Quantum claims that it is There are concerns that the increase in impact it has on communities. However,
a responsible company, the report finds lung diseases could be due to dust from the SARW report found that there is a dis-
that Kansanshi mine’s activities have neg- the tailing dams. parity between what is in the company
atively affected water and land, impacting sustainability report and what is found on
on agriculture and food security. First Quantum has failed to consider the the ground. First Quantum does provide
environmental effects of its tailings dam services to communities, but the report
This report, which focuses on one of First expansion on water pollution and the de- questions the quality of these services.
Quantum’s operations (the Kansanshi struction of community farms. Despite Clearly, the company is doing a number
mine), reveals a stark contrast between its financial and technical capabilities, of things in communities, such as building
the wealth that First Quantum extracts for First Quantum has failed to conclusively schools and clinics, sinking boreholes,
export and the poverty levels in the sur- demonstrate that its activities are not pol- agriculture, and recreational initiatives.
rounding communities. luting. The SARW research team was shocked
by the poor quality, the inadequate scale,
Kansanshi Copper and Gold Mine is The problem is not just the company. The and the flawed philosophy behind these
currently owned by ZCMM/IH and First SARW report has also found that the gov- initiatives. These investments are visibly
Quantum, with 20% and 80% of shares ernment is abdicating its responsibility of not intended to transform the lives of peo-
respectively. It produces 400,000 tons of control and sanctioning bad behaviour ple, but rather to maintain and perpetuate
copper and more than 120,000 ounces of by mining companies. Communities have poverty and underdevelopment.
gold per year. With this production, it is raised the issue of water pollution with the
the country’s largest taxpayer. Between government and with the Zambia Environ- It is clear from each community we visit-
2005 and 2015, the mine contributed mental Management Agency (ZEMA), but ed that people have hardly benefited from
more than $3-billion in tax to the Zambian the situation has remained unresolved for these projects. You need to search hard
10 Zambian Mining Magazine | www.miningnewszambia.comMarch - April 2019
Local News
in each community to find Kansanshi’s in- The approach to the provision of health- The impression of consultation that the
vestment. All the villages have kept their care is similar to that of education. Kan- company brandishes in its sustainabil-
original character – no running water, no sanshi uses a colonial system of health ity reports and social policy is simply is
electricity, no tarred roads, and no decent provision to the surrounding communities an image-building strategy and a win-
houses. No modernisation. According to – just the basics. We visited one health dow-dressing initiative, aimed at diverting
the report, if one has not visited Kansan- centre built by the company in Kabwela the attention of the company’s stakehold-
shi’s social projects, and only reads the community. The building is of very poor ers. The company does this to the detri-
company’s sustainability reports, one will quality and badly maintained. The toilet ment of communities’ interests.
have the image of a company beyond re- for the clinic is 20m away.
proach. This is not true. Behind the shiny The report has conclusively found that
sustainability reports with fancy images Grass has grown in and around the toilet, the efforts that the company is making to-
of happy local children, First Quantum’s a sign that it is not in use. The clinic has wards CSR are not transformative – they
rhetoric of poverty alleviation, of commu- no toilet facilities, no running water, and do not change the lives of the people but
nity empowerment, is simply not there. looks like an abandoned place. The na- maintain people in poverty.
ture of this health facility contradicts Kan-
In one of the communities (Kabwela), First sanshi’s claim in its sustainability report Instead of growing hope, Kansanshi
Quantum built a three-classroom school that “For any mining company, workplace mine’s CSR is undermining the hope of
to accommodate approximately 1,300 health and community well-being are in- poor communities. Kansanshi mine does
children from grades one to seven, and extricably linked.” not attach significant importance to the
two houses for seven teachers. At this economic and social transformation of
school, First Quantum forgot to build toi- The problems found in the community re- mining communities, and most of the
lets. The community took it upon itself flect a wrong approach to community en- company’s CSR activities reflect a total
to build the toilets. Despite numerous gagement. The SARW report found that lack of seriousness in conceptualisation,
requests by the community to expand First Quantum does not engage in gen- design, financing, implementation, moni-
the school facilities, the company has re- uine negotiation with communities. What toring, and evaluation.
fused. The community has embarked on Kansanshi fails to understand is that the
its own initiative to mobilise local resourc- quality and acceptability of its decisions *Edward Lange is Zambia co-ordina-
es to make 25,000 mud bricks to con- depends on their inclusivity. Simply con- tor of the Southern Africa Resource
struct another block of three classrooms sulting traditional leaders and national Watch.
and housing units for the teachers. government is not sufficient.
Zambian Mining Magazine | www.miningnewszambia.com 11March - April 2019
Local News
Zambia, Mozambique share gemstone
experiences
P
aul Chanda, permanent secretary in the ministry of government partnered with the right partner. For the gemstone
mines recently led a high-level delegation to industry now that Zambia is the leading emerald producer and
Mozambique to share experiences on the future of Mozambique is the leading ruby producer we can see how to
the gemstone mining sector. grow the industry and maximise value for the people of the two
countries.
Accompanied by Kagem chairman Dr. Sixtus Mulenga, Gem-
fields and Kagem Chief Executive Officer Sean Gilbertson, the For us in Zambia, Kagem has been the biggest taxpayer in the
group were in Mozambique for the inauguration of MRM’s new gemstone sector, now we want to see an increase in the trick-
US$15 million sort house by the Governor of the Cabo Delgado le-down effect of that development, and hence our social cor-
Province, Júlio José Parruque. porate responsibility programme,” Dr. Mulenga said.
The state-of-the-art facility is a first-of-its-kind in the coloured The facility itself will raise production levels significantly. It
gemstone industry on a par with the best diamond facilities in works by using the natural properties of rubies as a means of
the world and is set to significantly increase productive capac- automated sorting.
ity and upskill employees.
The process starts with washing of the raw material, before
“Gemfields are also partners of ours in Zambia running Kagem, passing it under ultra-violet (UV) light. Rubies naturally fluo-
and we have seen the kind of investment they have done here. resce under UV light, meaning optical sorters can detect the
fluorescence and employ blasts of air to direct individual rubies
These are the best partners, who are always practicing trans- to separate channels for further sorting and grading.
parency, and we want people to bring numbers to the table,
who want to show to their partners that this is what is available The use of programmable logic controllers and data software
and how much they will pay to government. under the UV light to conduct this process is faster, more reli-
able and more efficient than the human eye. It also allows the
“We have seen the kind of investment they have done here; identification of a finer material component than before.
they can replicate this in Zambia so we need them to put up a
[new] sort house so we are able to use technology to manage A greater number of washing plants – the equivalent of wash-
our emerald industry,” said Mr Chanda during the visit. ing 10,000 tonnes of ore per day – combined with UV optical
sorting account for how throughput will increase exponentially,
On the other hand Dr. Mulenga said over the past 13 years translating into significantly higher production figures.
Gemfields has moved Africa to the top, the consequence of
which is in Zambia, Kagem is now the largest emerald mining However, the introduction of automation will not mean a reduc-
company in the world, and in Mozambique, Montepuez ruby tion in workforce, in fact quite the opposite. Greater throughput
mine is now the largest ruby producing mine in the world. of the sort house means an expansion of the current active min-
ing area, requiring an increase in workforce, said the officials.
“So the beauty of that for us in Zambia is that the Zambian
12 Zambian Mining Magazine | www.miningnewszambia.comMarch - April 2019
Regional News
Adhering to correct underground roof bolt
placement
S
outh Africa’s mining safety and monitoring solutions resin anchored roof bolts in the mid 1970’s,” explained Murray.
company Monitech has highlighted the most significant “All South African mines currently operate with systematic roof
development in Coal Mine Ground Control during the support and mines conducting secondary extraction in work-
last century was the introduction of roof bolting during the ings that were developed with no, or limited systematic sup-
1940’s and 50’s. port, install systematic support prior to mining,” he adds.
Nick Murray, Chief Sales and Marketing Officer at Monitech One of the most common flaws is excessive bolt spacing,
said from and engineering standpoint, roof bolts have proved which may result in failure between bolts, which in turn can
to be more effective than the wooden timbers they replaced. cause a fall of ground.
“Roof bolts promised to dramatically reduce the number of roof However, establishing the position of the bolt with any real ac-
fall accidents and they were hailed as ‘one of the great social curacy can take significant time, which may negatively impact
advances of our time’. on production.
“Roof bolting also emerged at a time of rapid technological “Excessive bolt spacing can result in failures between bolts and
advancement in the coal industry and greatly accelerated the serious falls of ground, but conversely, using too many bolts
transition to Trackless Rubber – Tyred Face Haulage, as seen in due to incorrect smaller spacing can be costly and more time
the report: compiled by Christopher Mark,” said Murray. consuming. Establishing where to position the next roof bolt
takes time, which negatively impacts production,” said Murray.
Case studies also proved that roof falls could be largely elimi- Monitech is an OEM supplier and solutions provider with a fully
nated, and productivity increased dramatically. equipped and experienced research and development depart-
ment.
Murray quoting Christopher Mark again said “roof bolting has
been adopted more rapidly than any other new technology in Driven by end user requirements, Monitech has since devel-
the history of coal mining mechanisation”. oped and patented the Monitech Roof Bolt Placement System
(RBPS) which indicates correct bolt positioning for the operator.
Today, roof bolting is by far the most common support system “The Roof Bolt Placement System is flexible and can be con-
used in South African collieries. figured to meet the various bolting requirements. The RBPS is
designed in such a way that undulating roof and floor have a
“Historically, South African mines mined in areas that were very minimal effect on bolt placement.
stable and it was common practice to have no roof support, or
support was limited to intersections only,” said Murray. Roof “The Monitech RBPS saves valuable time when it comes to bolt
bolts are available in many forms and the methods to attach placement and eliminates the probability of having excessively
them to the rock mass are as varied. high or low bolt density,” said Murray.
Full column resin bolts, resin point anchors and mechanical an- Roof bolts work with the ground to create a stable rock struc-
chors are the most common support systems used in South ture and are the first line of defense to protect mineworkers
Africa. “Initially, mines started using mechanical anchors and from the hazards of ground falls.
Zambian Mining Magazine | www.miningnewszambia.com 13Tribology at Work
S ince its inception in 1985, the South
African Institute of Tribology has been
actively involved in the promotion of
tribology. Transfer of tribology technology in
wear, materials selection and lubrication is
With the exception of some pockets of
excellence, there is little knowledge across all
levels of industry, mining and manufacturing of
the proper use of lubricants, and the knock on
effects that can be achieved by using the
Energy efficiency is an economically and
environmentally attractive way to meet
growing energy demands but needs support to
make a significant contribution as it may not be
aligned with the aims of energy producers.
achieved through SAIT membership and the correct grade of lubricant. The Tribology South Africa has made solid progress in energy
ongoing programme of training courses, Project 2010 noted the following major efficiency over the past 20 years, with
seminars, webinars and technical meetings. findings: commensurate savings and increasing
International tribology conferences are · Lubricant consumption averages competitiveness. The South African National
regularly hosted by the SAIT to keep in touch 20% of installed capacity, against an Energy Development Institute (SANEDI) should
with international research and expertise. international benchmark of 10%. be mandated to develop appropriate policy
interventions to consolidate and further
One of the recent achievements of the SAIT is · Av e ra g e d ra i n p e r i o d s a r e develop these gains by ensuring that energy
in the field of energy savings through tribology. approximately equal to international efficiency is a central part of the regulatory
The Academy of Science of South Africa standards, which, when considering the high framework.
(ASSAf), was established in 1996 by the late average oil consumption, indicates that
equipment failure rates are significantly higher Tribology is a wide-ranging interdisciplinary
President Mandela to provide evidence based
in South Africa. field focusing on friction, wear and lubrication
scientific advice on issues of public interest to
rather than directly on energy efficiency as
government and other stakeholders. In 2016 · Average bearing life has dropped by such. Tribology research in South Africa has
ASSAf was requested to complete a study of two thirds, and gearbox lifetime to overhaul by benefitted from the establishment of a
the state of energy efficiency technologies in 80 to 90% over the past 20 years. This trend is Technical Steering Committee on Tribology
South Africa. Although the focus of the report ascribed to a lack of skills, resulting in poor (TSCT) in 2013 that has fulfilled a coordinating
was on electrical energy efficiency, the study alignment during assembly, and excessive dirt role and compiled a Tribology Road Map.
included tribology because the wide ranging entry throughout the supply chain. Various recommendations contained therein
interdisciplinary focus of tribology offers
· There is general industry comfort relate to the strengthening of research through
significant prospects to increase efficiencies
with historic failure trends and costs, rather the establishment of research chairs and a
and reduce energy wastage over a broad range
than understanding the root causes. centre of excellence in tribology. Specific
of activities.
recommendations stemming from this study
· A ca s e st u d y s h o we d t h at
The ASSAf study considered tribology in are to strengthen education on tribology by
concentrating on filter element quality and
respect to three important sectors, Energy, including tribology in the curricula of
lubricant cleanliness improved hydraulic
Manufacturing and Transport. A previous appropriate disciplines at universities and
component life from 4 months to 7 years.
study completed by Eskom showed that the educating the existing industrial workforce on
use of synthetic gearbox oil could reduce the · Overall, if industry was able to get tribology. It is further recommended that
power loss due to friction in gearboxes, and back to basics and focus on tribology, energy collaboration on tribology within the BRICS
concluded that by converting all major costs could be reduced by between 8 and 20%, countries be stimulated to leverage Chinese
gearboxes in Eskom's fleet of power generating and maintenance costs by 30 to 50%. developments in this field.
stations a conservative saving of 20 MW or 140 · Reduced production costs will The international trend is for governments to
000 GWh per annum could be achieved. Use stimulate industry in general and will increase encourage and fund interdisciplinary tribology
of synthetic gearbox oil across industry could, employment. related research though initiatives such as the
depending on uptake, achieve savings of
· Increased employment and local Chinese State Key Laboratory of Tribology at
between 200 MW and 600 MW, or over 2 TWh
production will increase GDP and will also have Tsinghua University.
per annum.
a calming effect on workplace conflict. Patrick Swan
The South African car fleet is considered to be
· Industry that is more globally SAIT Vice President
relatively old, and motorists are conservative
efficient will increase South Africa's potential
when it comes to lubricant purchases. The DST January 2019
for export which can improve the balance of
funded Tribology Project 2010 found that
payments and economic growth.
upgrading the lowest quality crankcase oils to a
more modern multigrade quality would result Amongst many other recommendations, the
in savings of between 7 and 18 million litres of A S S A f r e p o r t m a d e t h e fo l l o w i n g
petrol per annum. recommendations in respect of tribology:
Cummins Launches
Contact: Gill Fuller
Tel: +27 11 804 3710 • Fax: +27 86 719 2261
its
‘LUBRICATION ENGINEERING’
A five day course on the principles and technology
Zambian Headquarters
• E-mail: secretary@sait.org.za
www.sait.org.za
of lubrication engineering. This course can be
presented in-house on request, either as a full five day
in Kitwe, Zambia
certificated course, or a one or two day introductory course.
John Kambing'a – Aftermarket Leader Meshach Kwegyir-Aggrey – General Manager Chiteta Kayombo – Finance Manager ‘WEAR & MATERIALS’
All courses are registered with ECSA
A one day introductory course on the operation,
THE SOUTH AFRICAN INSTITUTE OF TRIBOLOGY for CPD points, and courses can be maintenance and design of equipment, and the selection
“understanding friction, lubrication and wear” held in-house on request. and specification of wear resistant materials.March - April 2019
Regional News
Automobiles, electric bikes to spur metal
production
R
esearch and Markets, the world’s sures of few operating lead mines and provides historical and forecast data
largest market research store said hindered production. on lead production by country, lead re-
the global lead mine production is serves, lead reserves by country, and
projected to grow between 2018 to 2022, Projects due to begin operations in the consumption to 2022.
fueled by increased demand for lead acid next few years include the Lucia project
batteries from the automobiles and elec- and Castellanos project in Cuba (2020), “The report also includes a demand
tric bikes sectors, especially from China the Tala Hamza project in Algeria (2021), drivers section providing information on
and the US. the Camaqua project (2022) in Brazil, factors that are affecting the global lead
and the Rosh Pinah project in Namibia industry.
China, US and Australia’s declining pro- (2022).
duction last year affected metal content It further provides mines and projects
in ore production that was estimated to Research and Markets’ recent report count by the company by status, and by
have fallen to 4.7Mt, down by 0.9 per- ‘Global Lead Mining to 2022’ provides region, profiles of major lead producers,
cent over 2017. comprehensive coverage on the global information on the major active, planned
lead industry. and exploration projects by region,” said
In 2017 environmental inspections in the researchers.
China and Australia resulted in the clo- According to the researchers the report
100
95
75
25
5
0Zambian Mining Magazine | www.miningnewszambia.com
15March - April 2019
Regional News
“It includes a faster supply chain with a
move towards fully automated logistics
functions for faster spare parts turn-
arounds, upgraded high-tech service
centres at all KSB branches, specialised
repair services on all makes of pumps
and related equipment, specialised
welding, as well as installations, com-
missioning, performance testing on site,
decommissioning and other advanced
field service and engineering services.”
The company has a history spanning
more than 60 years in South Africa and
ranks as one of the top service centres
within the ‘KSB Worl’ of 16 000 employ-
ees in more than 60 countries.
Its resident engineers are regarded as
among the best undertaking all kinds of
projects in the remediation and repairs of
equipment in projects as diverse as pow-
er generation plants, petrochemical, bulk
water supply projects, as well as being
KSB expands its aftermarket equally eager to assist small-scale in-
dustrial and agricultural projects.
services This ensures KSB SupremeServ ser-
vices are available for the widest possi-
K
SB Pumps and Valves is intensif- necessary to meet client’s requirements,” ble range of clients whether for basic or
ying its focus on aftermarket serv- said Grant Glennistor KSB Pumps and large-scale or complex services.
ices that add value to customer Valves SupremeServ, division manager.
operations far beyond the supply and Simultaneously, the company has ongo-
maintenance of its own products. All aftermarket services globally fall un- ing programmes to continuously improve
der the new KSB SupremeServ banner services through constant upskilling and
According to the company plans are to which encompasses existing and new development of its staff in line with mar-
extend its services and engineering ex- maintenance, logistics and engineering ket requirements.
pertise to include maintenance of entire infrastructure and is entirely focused on
systems, reverse engineering of rotating elevating customer assistance to new This level of commitment has also led to
equipment and system optimisations. heights within the pump industry. the company qualifying as a Level 1 BB-
BEE provider.
This includes maintenance of third-party “SupremeServ is a safety net that en-
peripheral equipment in order to ensure sures KSB’s extensive South African, as KSB SupremeServ centres are situated
its clients systems perform optimally at well as global infrastructure and exper- at all local branches with spares and
all times. tise is available to support customers’ standard parts available within 24 hours
fluid transfer projects, including equip- to service all 22 000 variants of its own
“Our aftermarket engineering teams can ment and related infrastructure to ensure pump. The centres also dedicated walk-
also remanufacture or reverse engineer its long-term success. in-centres for on-the-go-services.
equipment that is no longer available but
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16 Zambian Mining Magazine | www.miningnewszambia.comMarch - April 2019
Regional News
Ramaphosa, Akufo-Addo address historic
Mining Indaba
T
wo major African mining economies’ presidents collaborative efforts aimed at regional integration, as govern-
addressed the Investing in African Mining Indaba ment plays its role in creating an environment in which mining
in South Africa, this year. thrives for the benefit of all its people.
South African President Cyril Ramaphosa and Nana Akufo-Ad- “We are committed to the mining industry. This is a sunrise in-
do of Ghana shared their thoughts with audience of government dustry. We would like you as investors, operators, managers,
representatives, investors, mining companies, the media, NGOs chief executors to see your own industry as a sunrise indus-
and others. try. Come join us,” said Ramaphosa. Sharing his sentiments
Akufo-Addo called for collaboration to create shared and inclu-
“This Indaba offers us a valuable opportunity to engage with sive value for all stakeholders.
investors from across the globe seeking opportunities for new
and further investment in the mining industry on our continent. “Mining is a necessity, not just an indulgence. We must strike
deals that are fair to both sides. Negotiations between compa-
“It is important that investors are here to create value for share- nies and governments should be transparent, and accessible
holders and become partners on a journey of inclusive develop- and easily understandable by citizens.
ment,” said Ramaphosa.
We know that the extractive sector can be the champion of eco-
He said the days of conflict between the industry and govern- nomic growth on the continent – it has great potential for job
ment, between industry and labour and communities should creation and can form the basis for transformation.” He said
belong to the past. Ghana’s hope is to establish an equitable balance between
government and needs of the investor community.
“There must be more collaboration, co-operation, consensus
building and working together,” said Ramaphosa. “It is time for the mineral sector to produce win-win situation for
Ramaphosa said Mining Indaba should be used to strengthen all stakeholders.”
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KSB in South Africa has branches in all the major centres as well as West Africa, East Africa, Namibia and Zambia, ensuring a bigger
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www.ksbpumps.co.za
Zambian Mining Magazine | www.miningnewszambia.com 17March - April 2019
Corporate News
Jet Demolition emerge leading global specialist
J
et Demolition’s back-to-back wins come.” Meanwhile Brinkmann has been invited to deliver a presentation at the World
in the 2017 and 2018 World Demolition Summit 2019 Conference and Awards from 23 to 24 October in Boston in
Demolition Awards has cemented the US.
the company’s reputation as one of the
leading demolition specialists globally. It will be the 11th edition of this major international event celebrating technical excel-
lence and innovation in the global demolition industry.
The company has successfully taken on
some of the most demanding projects in Jet Demolition has been undertaking industrial demolition works since 1994, and is the
the world to be recognised on an interna- leading, largest, and most technically-advanced demolition company in Africa.
tional platform.
“We are extremely humbled and grateful
for this recognition, and feel enthused to
continue in this spirit of hard work and ex-
cellence,” said Joe Brinkmann, Jet Dem-
olition Director.
Though demolition provides a continuous
challenge, with every project approached
with the aim of increasing safety, produc-
tion, and cost-efficiency, there is no for-
malised demolition training available in
South Africa.
“Our personnel are developed and nur-
tured in-house,” Brinkmann said. He said
mentoring ensures constant interaction
with team members, which means that
everyone is able to learn from each other.
Looking back at the company’s achieve-
ments to date, Brinkmann highlights Jet
Demolition’s work on large water-retaining
dams as some of the most important proj-
ects it has undertaken, from Hazelmere to
Midmar.
The projects called for highly-controlled,
cautious, partial demolition of large dams
for rehabilitation and enlargement proj-
ects. And new blasting techniques were
developed to retain the structural stability
of the dams, with no wasted effort.
“We look forward to other challenging
work of this nature.”
Commenting on the current state of the
civils sector in South Africa, Brinkmann
points out that “it is very much in intensive
care at the moment. “In five years’ time, I
believe we will be in a phase of good eco-
nomic growth, with a strong prospect of
growth in the civils sector.”
In terms of future trends, Brinkmann is a
firm believer in Industry 4.0 as both a dis-
rupter and an enabler of development.
“It will impact heavily on our industry, with
increased mechanisation under digital
control. In turn, technology must always
be driven by people, resulting in new and
exciting skills to be developed in years to
18 Zambian Mining Magazine | www.miningnewszambia.comYou can also read
