Tuesday, May 07, 2013

Collum miners to continue getting salaries - Mukanga
By Kabanda Chulu
Mon 06 May 2013, 14:00 CAT

WORKERS at repossessed Collum Coal mines in Sinazongwe district will continue getting paid despite the mine not having any production activities, says mines minister Yamfwa Mukanga.

Dismissing assertions that the government had neglected the miners after ZCCM Investment Holdings took over the mine following the cancellation of licences that were given to Chinese investors, Mukanga said no miner had been declared redundant.

"People should not become jittery, they will not lose jobs and they are still getting paid despite not having any production activities since this government is committed to safeguarding the welfare of Zambians," Mukanga said.

"ZCCM-IH is still evaluating the assets of the repossessed Collum Coal Mines in order to ascertain the true value of the mine's equipment and machinery, among other things, and I expect them to conclude the evaluation this week."

He said after the cancellation of licences, ZCCM-IH was tasked to take over until a suitable investor is found.

"We want to find out the true value because the Chinese-led Collum Coal management wants to be paid for the repossessed assets but we want to know since they owe us in statutory obligations and if the true value is below what they owe us, then we shall ask them to pay the difference," said Mukanga.

In February, the government revoked licences for the mine over poor safety and environmental compliance, as well as failure to pay mineral royalties.

The mine had a history of poor safety, health and environmental compliance, mainly due to the employment of non-qualified personnel.

The mine did not have emergency medical treatment facilities such as ambulances or a first-aid station underground and also failed to declare its mineral production as required for all mining companies under Zambian law.

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Monday, February 25, 2013

(LUSAKATIMES) ZCCM-IH urged to take over the operations of the embattled Collum coal mine

ZCCM-IH urged to take over the operations of the embattled Collum coal mine
Time Posted: February 25, 2013 8:02 pm

ZCCM

The Zambia Chambers of Commerce and Industry ( ZACCI ) has urged the Zambia Consolidated Copper Mines Investment Holdings ( ZCCM-IH) to take over the operations of the embattled Collum coal mine.

ZACCI Vice President –South Chabuka Kawesha says his organization ZCCM-IH should consider taking over operations to ensure continuity of all operations at the coal mine.

“ ZCCM-IH must address the flows that lead to government’s decision being that of repossessing the mine, “ he said. ZANIS reports that Dr. Kabwesha said this in a statement in Lusaka, today.

He explained that operations of Collum coal mine as represented through various media reports over the past years have raised concerns.

“ And we believe the appropriate ministries and other government offices had more detail and information hence the decision taken by Government, “ he said.

He added that his Institute believes that ZCCM-IH may within its powers and in the shortest possible time, appoint or select a small group of local Zambian mining experts to manage the facility by going forward.

“ We believe that ZCCM-IH may within its powers and in the shortest possible time, appoint or select a small group of local Zambian mining experts to manage the facility going forward and bring it to profitable levels with the right framework of employee engagement and sustained visible philanthropic support to the local community, “ he said.

He explained that as a nation we have the capacity to identify local or internationally based professional Zambians with credible credentials to manage the mine and the new managers should go to the local and international finance markets for operational capital for Collum Coal Mine going forward.

Dr Kawesha suggested that the appointed team should first identify a revival strategy for the operations and enable sustainable operations with minimal government support. Thereafter look for equity partners in addition to working with ZCCM-IH.

It is not a secret that foreign run mining companies go for syndicated finance options or to international capital or financial institutions like the IFC, African Development Bank and many others to finance huge projects which are capital intensive, he explained.

“ Therefore, the team of Zambian managers should put up a bankable document and obtain finance from either local or foreign financial institutions so as not to place any burden on the government,” said Dr. Kawesha.

The Chamber says the Ministries of Finance and Mines and the ZCCM-Investment Holding (IH) should appoint a team of professional Zambian in the areas of administration, mining and finance to revive and operate the Munali Nickel mine in Mazabuka.

It adds that the team should also consider restoring national assets at the coal mine in similar lines like at Zambia Railways led by an ably qualified Zambian engineer can be replicated to our mining facilities.

We all know it’s a long stretch for government to finance Professor Chirwa’s positive and well-intended project. And at some stage local or international financial institutions have to come into play by way of financing the national and inter-town rail networks.

The ZACCI Vice President –South has further suggested that the Ministry of Finance, Ministry of Mines and ZCCM-IH should appoint separate teams of Zambian experts in the areas of administration, engineering, finance and mining to undertaken the operations of the Collum Coal Mine and Munali Nichel Mine both located in Southern Zambia.

“ Each team should, just like foreign mining operators based in Zambia or elsewhere do, go to the international or local capital markets to raise operational capital or indeed invite in an equity partner or two,” he said.

Alternatively ZCCM-IH should call for “expressions of interest” or “request for proposals” as a matter of urgency for both mines. EOI or RFP opens the playing field and guarantees strong partners, he concluded.

Government recently took over a Chinese-run coal mine where managers once opened fire on its Zambian workers during a labor dispute.

Mines and Minerals minister Yamfwa Mukanga explained that that government had seized control of Collum Coal Mining Industries Ltd.

Mr. Mukanga said the Chinese managers had not addressed safety, health and environmental concerns at the mine, had also failed to declare production and had not paid royalties to the government.

There has been a history of problems at this mine. Two Chinese managers were accused of shooting coal miners there during a labor dispute in 2010.

Clashes at the mine in August reportedly saw one Chinese worker killed and two others injured.

Labor conflicts at Chinese businesses in Zambia are pointed to as examples of problems with Chinese investors across Africa.

ZANIS

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Wednesday, February 20, 2013

(LUSAKATIMES) Government takes over Collum Mines

Government takes over Collum Mines
Time Posted: February 20, 2013 2:17 pm

Government has with immediate effect cancelled the mining licence for Chinese run Collum Coal Mine. Based in Sinazongwe area of Southern Province, Collum Mine has been the subject of fierce labour disputes between the Chinese managers and the local Zambian workers due to poor working conditions.

In 2010, eleven miners including one onlooker were shot and seriously wounded by Chinese manager at the Collum Coal Mine. Mines Minister Yamfwa Mukanga announced during a news briefing this morning that government has taken over the operations of the coal mine.

Mr. Mukanga said the mine has had a poor history of poor safety, health and environmental compliance which he attributed to the employment of unqualified personnel.

“Collum Coal Mine has failed to consistently provide employees with approved personal protective equipment (PPE’s),” he said.

Mr. Mukanga said the Ministry through the Mines Safety Department has been undertaking regular inspections to assist the mine remedy the persistent beaches adding that in some instances the entire mine has been closed before to allow the mine management to comply with directives but that there has no improvements.

“The Ministry gave a default notice to Collum Coal Mine on August 16 2012 and the company was given 60 days within which to remedy the anomalies cited in the default letter failure to which the licence would be cancelled. The 60 days expired on October 16 2012 without any response to the notice or remediation of all anomalies cited,” Mr. Mukanga stated.

The Mines Minister said Collum Mine failed to meet statutory obligations such as the declaration of mineral production and royalty to government.

Mr. Mukanga has since appealed to workers at the coal mine to remain calm assuring that there will be no disruption of normal operations.

Collum Coal Mining Industries Limited holds three small scale mining licences in Sinazongwe district of Southern province which were granted on 31 May 2002, July 5 2002 and May 7 2003 respectively.


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Tuesday, December 18, 2012

Collum miners blame their bosses for colleague's death

Collum miners blame their bosses for colleague's death
By Moses Kuwema
Mon 17 Dec. 2012, 09:00 CAT

ONE miner has died at Collum Coal Mine in Sinazeze after stored coal allegedly fell on him. According to highly-placed sources at the mine who sought anonymity, the miner, identified as Gift Kayumba, died around 18:00 hours on Friday.

"The accident happened around 18:00 hours because of lack of proper supervision. What happened was that this Chinese supervisor, Mr Zoom, forced Gift to go into the storage alone.

In the storage, most of the time the coal is usually full and it is very dangerous to enter the place alone and it was during this time that he was working alone that the coal fell on him and he died," the source said.

The source said the workers at the mine were blaming their Chinese bosses for Kayumba's death.

"The former mine manager Mr Brian Kashimu was trying to bring order at the mine but the Chinese bosses decided to terminate his contract. We are asking the government to bring back Mr Kashimu because these Chinese supervisors we have are very stubborn and they need someone who is tough like Mr Kashimu," the sources said.

The sources said the workers were not happy with the happenings at the mine. Sinazeze police officer-in-charge Samuel Mwenya confirmed the accident.

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Friday, January 27, 2012

Collum mine compensates family of deceased worker

COMMENT - K50 million is $10,000.

Collum mine compensates family of deceased worker
By Edwin Mbulo in Livingstone
Fri 27 Jan. 2012, 13:59 CAT [183 Reads, 0 Comment(s)]

MANAGEMENT at the Chinese-run Collum Coal Mine has paid out K50 million to the family of Gibson Siachivwenya who died when a rock fell on him at shaft three on January 18 this year. According to a letter addressed to Southern Province minister Miles Sampa, Collum Coal Mine has reduced its productivity tasks to 70 coal tramcars from 75 for each team.

"The deceased miners' family has got the compensation cash of K50 million and the coal mine paid off at once. We two parties also made one compensation agreement to look after the other coal miners according to Zambian Laws after recovery. Fortunately, one miner Doubt Mudenda has already been discharged from hospital and the other one Maiya Wispow will be discharged within two weeks," Collum Coal mine stated.

The mine management has also advised miners and supervisors to follow safety standards.

Collum Coal Mine further stated that it took care of all the funeral expenses for Siachivwenya and paid all medical fees for Wispow and Mudenda.

"We apologise to the families. Up to now, the current situation is that management has taken some action about this accident. Firstly, we stopped production for seven days from January 18 as guided by safety rules," Collum Coal mine stated.

The mine management stated that the rock that fell on the three miners in shaft three weighed more than two tonnes and killed Siachivwenya on the spot.


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Thursday, April 30, 2009

(LUSAKATIMES) 250 Chinese Collum Coal Mine workers retrenched

250 Chinese Collum Coal Mine workers retrenched
Thursday, April 30, 2009, 12:19

The Chinese Collum Coal Mine management in Sinazongwe district has said the shrinking market for coal has resulted in shutting down of Shaft Three and 250 workers have been laid off.

The Director for Shaft Two and three Xu Zian Rui told ZANIS in Sinazongwe that 4,600,000 metric tones of coal were lying in their storage shades.

Mr. Rui said most of their customers such as Chilanga Cement, Konkola Copper Mine, and Zambia breweries are still buying their coal from Zimbabwe.

He said production has been reduced as they were now producing 3, 000,000 metric tones of coal per month.The Director said the price of their coal ranges from K280, 000 for washed peas, K230, 000 washed nuts and K180, 000 for washed fines.

He further said production would be back to normal once the market for coal improved.

Last month the Chinese director appealed to government to assist them in ensuring that companies stops buying coal from outside the country because they had enough stocks to satisfy the market.

Mr. Rui said only small companies were buying coal from them in smaller quantities.
He said the scenario has affected workers that have been laid off because they have no means to look after their families.

Mr. Rui said the closed shaft would only be re-opened once the market for coal improved.

ENDS/TN/PK/ZANIS

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