. Yaluma

By MAIMBOLWA MULIKELELA  –
ZCCM -Investment Holding (IH) will not compensate the former owners of Collum Coal Mine and has since requested them to remove their assets from the mine site.
Mines, Energy and Water Development Minister Christopher Yaluma said after several attempts to resolve a standoff between the former owners of the mine and ZCCM-IH, it had become imperative that they remove their assets at the mine site because the Government would not be able to compensate them.
Early this year, the Government had appointed an independent evaluator to determine the value of Collum Coal Mine in Sinazongwe in Southern Province to assist resolve the standoff.
This was meant to determine the actual value of the mine in which the Chinese company is alleged to have over-valued it and seeking compensation.
The 12,000 tonnes per annum producer of the heating substance chiefly used by the mines for production of various metals including cement, was shut down in February last year.
It was alleged to have among other concerns been flouting labour laws, poor safety and sanitary record at place of work and failure to remit taxes to the Government.
Addressing journalists in Lusaka, Mr Yaluma said the Government was no longer interested in buying the assets saying that any new investor would have to bring their own assets.
“ZCCM-IH has asked the former Chinese owners to remove their assets at the mine area so that ZCCM-IH can begin to look for a new investor to take up the operation. You must understand that we have failed to reach an agreement regarding how much we should compensate them for their assets.
“The former Chinese owners are requesting more for their assets and we engaged an independent evaluator to come up with the actual value but this has not helped much,” he said.
He said some investors have expressed interest to invest in the Collum Coal mine but it was important to conclude the issues of the assets with the former owners before another investor could be engaged.
“ZCCM IH is paying a lot of money to ensure that the mine is kept under care and maintenance and would like to resolve this issue as soon as possible. We want to use the money for something else because they are spending for something they are unable to reap the benefit,” Mr Yaluma