Anglo-American, one of the world’s largest mining companies, is exploring for copper and cobalt in Zambia’s North-Western province. The move signals a growing interest in the African country’s rich mineral resources, as global demand for green energy and electric vehicles surges.
A Promising Step for Zambia and Africa
Zambia, a landlocked nation in southern Africa, has long been known for its copper production. The country is Africa’s second-largest copper producer, after the Democratic Republic of Congo, and copper accounts for about 70% of its export earnings. However, Zambia has also faced economic and social challenges, such as high debt, poverty, and corruption.
Anglo-American’s exploration in Zambia could boost the country’s prospects and attract more foreign investment. The company’s CEO, Duncan Wanblad, said he was pleased with the progress of the exploration, which aims to identify potential copper and cobalt opportunities. Cobalt is a key ingredient for batteries used in electric vehicles, which are expected to grow in popularity as part of the global transition to clean energy.
“We sometimes forget this simple truth: mining jurisdictions across the world are competing for every dollar of investment. Capital is highly mobile and, increasingly, as we are all seeing, the best capital will go to those countries that are set on making themselves competitive for the long term,” Wanblad told delegates at the African Mining Indaba in Cape Town on Monday.
A Competitive Edge for Anglo-American
Anglo-American is not the only mining giant eyeing Zambia’s mineral wealth. In December, Glencore agreed to sell its majority stake in Mopani Copper Mines, Zambia’s largest copper producer, to the state-owned mining company ZCCM-IH. The deal ended a long-running dispute over the mine’s future and gave the Zambian government more control over its natural resources.
Other companies, such as Rio Tinto, Teck Resources, and Barrick Gold, have also shown interest in exploring or investing in Zambia’s mining sector. However, Anglo-American may have an advantage over its rivals, as it has a history of operating in the country. The company was one of the first foreign investors in Zambia’s copper industry in the 1920s but left in 2002 amid political and economic turmoil.
Now, Anglo American is returning to Zambia with a renewed vision and strategy. The company has pledged to uphold high standards of environmental, social, and governance (ESG) performance, as well as to foster local development and empowerment. The company has also diversified its portfolio to include other metals and minerals, such as platinum, diamonds, iron ore, and nickel, which are in high demand for various industrial and technological applications.
A Bright Future for Green Mining
Anglo-American’s exploration in Zambia is part of its broader ambition to become a leader in green mining. The company has set ambitious targets to reduce its greenhouse gas emissions, water consumption, and waste generation, as well as to increase its renewable energy use and recycling rates. The company has also invested in innovative technologies, such as hydrogen-powered trucks, carbon capture and storage, and digital platforms, to improve its efficiency and sustainability.
By pursuing green mining, Anglo American hopes to create value for its shareholders, customers, employees, and communities, as well as to contribute to the global goals of climate action and sustainable development. The company believes that mining can be a force for good if done responsibly and transparently.
As Wanblad said, “Zambia’s mining sector appears to be on track for renewed activity – and that is good for Zambia and African mining.”
Source: Reuters
