By KAIKO NAMUSA –

THE Government says it will not be put under pressure by First Quantum Minerals’ (FQM) threats of withdrawing investment of US$1 billion in capital projects in Zambia but engage it in a process of dialogue.
Vice-President Guy Scott said in Parliament yesterday that the statement by FQM director, Matt Pascal was an attempt to put the Government under pressure but that Government would meet the mine management over the matter.
“His (Pascal) statement was ill-judged. He was attempting to put pressure on us (Government). You can’t put pressure on Government. However, we are meeting with them next week and an amicable solution will be found,” Dr Scott said.
He was responding to Lunte MMD Member of Parliament Felix Mutati, who wanted to find out what the Government was doing in view of the statement by the FQM official.
Mr Pascal said FQM had decided to postpone investment worth $1 billion due to uncertainty on the fiscal regime.
He said while FQM had recorded remarkable growth rates at Kalumbila and Kansanshi mine projects, there had been a lot of challenges faced by the company, citing uncertainty on the fiscal regime and bureaucracy.
“There has been a lot of uncertainty on the fiscal regime. Obviously this started with application of development agreements and continued a couple of years ago with doubling of royalty rate and now the continued talk on windfall taxes,” Mr Pascall said.
But Dr Scott said a meeting had been scheduled for next week to address the matter in an amicable manner.
The question was asked during the Vice-President’s 30-minute question session, which accords parliamentarians the opportunity to ask him questions of national interest.
Meanwhile, Dr Scott informed the House that he would consult the Ministry of Health on safeguard measures following the recent arrest of a Lusaka man masquerading as a doctor at Levy Mwanawasa General Hospital who was charging unsuspecting female patients requiring urgent medical attention.