Lubamba: Zambia looking to partner more with investors

Zambia's mining sector has been the talk of the town at the 30th African Mining Indaba in Cape Town, with a surge of interest and investment commitments pouring into the country. Helen Lubamba, Executive Director of Stanbic Bank Zambia, highlighted the significant traction Zambia has gained in recent years, especially after the announcement of a $1.3 billion investment by First Quantum. The S3 project initiated by FQM has been instrumental in increasing throughput in the face of falling grades, showcasing the industry's resilience and innovation. The use of AI technology by Cobalt Metals has led to a groundbreaking exploration success, with $150 million invested in the project that is set to venture into mining, potentially producing 400,000 tons a year. Stanbic Bank Zambia, one of the largest funders in the mining sector, has actively participated in major projects while eyeing more partnerships in the future. As the mining sector experiences a wave of discoveries and risk capital, the focus on exploration becomes paramount for sustainability and growth. The push for greenfield investments and the integration of technology like AI signal a new era of decision-making and funding strategies in the industry. While traditional fossil fuels remain a part of the energy mix, the transition towards decarbonization underscores the importance of responsible development and funding allocation. The balancing act between progress and environmental impact is crucial as nations strive to meet global targets by 2030 and 2050. Despite the spotlight on major players, artisanal and small-scale mining continue to face funding challenges. The shift towards formalization, supported by government initiatives and collaboration with private sector lenders, is key to unlocking financial support for smaller operations. Guarantee schemes and risk-sharing mechanisms aim to mitigate financial risks and attract commercial financing into the sector. The evolving landscape of collaboration and regulatory frameworks in Zambia reflects a new era of partnership and mutual benefits for both mining companies and stakeholders. The path forward for Zambia's mining industry involves a blend of innovation, sustainable practices, and inclusive growth to drive economic prosperity and social development.