LUSAKA, Feb. 15 (Xinhua) -- India's Vedanta Resources has disbursed 25 million U.S. dollars as part of the deal to revamp operations of its Zambian unit, Konkola Copper Mines (KCM), a spokesperson said Thursday.
Masuzyo Ndhlovu, director of corporate communications, said the money was meant to settle employee salaries, contract labor and other critical services needed to maintain the integrity of the mine.
Ndhlovu added that Vedanta has deployed a technical team at KCM to work with the current management to ascertain the state of the asset.
"This is aimed at ensuring that the business is prepared for operations once Vedanta takes over upon the conclusion of the scheme of arrangement that is before the court," he said in a statement.
The company, he added, was putting in place a strategy to invest 1.3 billion dollars to expand and modernize the mine and increase annual copper production from the current 70,000 metric tons to 300,000 metric tons in the medium term.
Last November, Vedanta and the Zambian government sealed an agreement that restored the Indian company's ownership of KCM, ending a protracted ownership battle that stifled investment. The Indian firm went to court after the previous government seized the mine in 2019, alleging failure to adhere to set conditions. ■
