Zambia’s Mopani plans to resume cobalt production

News Analysis

1

Jun

2022

Zambia’s Mopani plans to resume cobalt production

Zambia's Mopani Copper Mines plans on resuming its cobalt production after it had stopped production more than a decade ago.  

In May 2022, Brian Musonda, the Chief Investment Officer at ZCCM Investments Holdings, told Reuters that Mopani plans on resuming cobalt production in 2023 with an expected production of 4,000t-5,000tpy. The cobalt feedstock will be sourced from Mopani’s cobalt tailings that were stored when cobalt production was halted due to low metal prices over a decade ago.

Project Blue acknowledges that for the first year of production, Mopani may have substantial cobalt surface feedstock to meet expected production values.  However, long term output seems uncertain as since Zambia’s Government took on US$1.5Bn in debt to buy Mopani from Glencore, it is yet to find a new investor for the mine.  Project Blue understands that the operations need significant investment to increase output, and the environmental credentials of the site are questionable. Glencore bought Mopani Copper Mines in 2000, inheriting a longstanding sulphur emissions problem that has angered local communities.   


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