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Gold/Mining/Energy : first quantum minerals FM on TSE -- Ignore unavailable to you. Want to Upgrade?

To: Stephen O who wrote (292)	2/21/2000 3:11:00 PM
From: Stephen O	Read Replies (2) \| Respond to of 385

Times of Zambia 21 Feb 2000 Opinion piece MONDAY, February 21, 2000 Opinion WE share a genuine relief with the Mineworkers Union of Zambia (MUZ) and the Zambia Federation of Employers (ZFE) over the sale of former Mufulira and Nkana mines to First Quantum Minerals and Glencore International AG to operate as Mopani Copper Mines (MCM). Both MUZ president Andrew Mwanza and his counterpart at the ZFE Samuel Musonda have high stakes in the industry. Mr Mwanza controls local manpower working in the mines. And Mr Musonda, as head of the employers, has equal responsibility. There can only be lasting harmony if the employers and the employees unite and work together. The goodwill that has greeted the sale of the two mines and a concentrator must never be doused by unnecessary bickering in future. So far manpower development and community service seem to be paramount in First Quantum's operations. Since they resurrected the 93-year old Bwana Mkubwa mine there has been no echoes of disenchantment emanating from there. Instead the area has been transformed to become a pride of Ndola. Cleanliness and industrial relations included. In all their negotiations, First Quantum and Glencore have not asked for special favours from the Government. The Government has not hidden to them the deteriorating state of the mines. It is a fact that massive injection of capital would be needed to replace the obsolete machinery and revitalise the mines. MUZ must also be aware that the new owners have their own plans to revitalise the mines. New machines will be bought that will perform with fewer operators. Consequently, job losses will be necessary. This is the area that would need their cooperation. First Quantum's strategy is to minimise job losses as much as possible but our prayer is that MUZ would not stand in the way of reducing the workforce if it became necessary. Mr Mwanza's assurances of maximum support to meet production targets is certainly what the new owners would need. MCM can only succeed with the support of the miners. However, there is a limit to how far workers can go. To Mr Mwanza this cooperation will last only as long as his members were properly remunerated. Mr Musonda, on a different note, has welcomed the sale because of the number of dormant companies that he envisaged would be revitalised. The upsurge in mining activities will certainly stimulate the growth of the sector. Many Copperbelt residents have began to see hope again. Vibrant mining activities in the past had given rise to the surge in related industries. Those companies which closed because of lack of business have cause to remove their padlocks, dust up and return their machinery. Soon residents, too, will start realising the fruits of a revitalised mines again.