The Zambian government plans to retain a majority stake in select promising mining licenses identified through an ongoing mapping exercise, while inviting private investors to develop these assets through joint ventures with the state.
Mines Minister Paul Kabuswe announced the creation of a special purpose vehicle (SPV) to facilitate these investments, as part of Zambia’s broader strategy to increase copper production. Currently the second-largest copper producer in Africa, Zambia aims to exceed 1 million tonnes of copper output by the end of 2025.
According to Kabuswe, the SPV will hold licenses for key mining areas and actively seek commercial partners for exploration and mining ventures. The government, through ZCCM Investment Holdings, already controls several mining assets and is targeting an increase in copper output to 3 million tonnes by 2031.
Achieving this goal will require a significant number of exploration projects, many of which are being identified by the government. The SPV is expected to control at least 30% of critical minerals production from future mines, while the government will hold a 45% stake in any joint ventures formed.
Zambia’s copper industry is currently dominated by subsidiaries of First Quantum Minerals and Barrick Gold, which together accounted for about two-thirds of the country’s copper output in 2023.
New exploration initiatives, such as the KoBold Metals’ Mingomba project backed by Bill Gates and Jeff Bezos, are projected to contribute 1.2 million tonnes of copper annually, further boosting Zambia’s production capacity.
