By JAMES KUNDA –
GOVERNMENT is yet to find a suitable equity partner to acquire the 49 per cent shares in Indeni Petroleum Refinery in Ndola, Mines, Energy and Water Development permanent secretary Charity Mwansa has said.
Ms Mwansa said in an interview in Ndola that Government had agreed to float 49 per cent shares in Indeni because the refinery required massive investment for overhauling.
She clarified that the recent announcement by the Zambia Development Agency (ZDA) regarding Indeni was meant to inform the public that Government had resolved to sale 49 per cent shares in the firm.
“We are still looking for an equity partner for Indeni and this process is being spearheaded by the Ministry of Finance which will make an official announcement once the partner is found”.
“The recent announcement by ZDA regarding Indeni was just reiteration of the decision to offload the shares and an equity partner will be coming in and assist to manage the plant,” she said.
Ms Mwansa said Government alone could not manage Indeni because the dilapidated infrastructure at the refinery had made it costly for shareholders to sustain operations.
She said the available options were the rehabilitation of the existing refinery or construction of an ultra modern plant which would process additional quantities and various brands of petroleum.
Government however required US$1.7 billion to construct a new petroleum refinery in Ndola.