Zambia Investor Briefing July
▶️ WATCH: Choolwe Chibomba and a powerhouse panel discuss how Zambian Mining Can Power the Green Energy Revolution LIVE at the Invest Zambia International Conference (IZIC) this month
OVERVIEW
⛏️ MINING: At the Invest in Zambia International Conference in Lusaka, President Hichilema announced that the country is on track to reach one million tonnes of copper production this year. Vedanta Resources has started an ambitious $400 million renovation of Konkola Copper Mines’ smelter in the Copperbelt. The Zambian Ministry of Mines and Minerals Development, with the British Geological Survey, launched the Critical minerals potential of Zambia. China has dispatched a fleet of 31 pure‑electric mining trucks for a copper project in Zambia. India has sent a team of geologists to survey a 9,000 km² exploration zone in Zambia focused on cobalt and copper.
⚡️ ENERGY: At the start of the month, the Energy Regulation Board (ERB) announced significant reductions across all fuel types. Zambia’s state-owned Industrial Development Corporation (IDC) signed a memorandum of understanding with Fujian Xiang Xin Corp. to develop an $1.1 billion oil refinery that will process about 60,000 barrels a day. ZESCO, in collaboration with First Quantum Minerals, Barrick, ADC, and Zutari, has launched a 330 kV network upgrade across North‑Western Province. ZESCO has also signed a 25-year power purchase agreement (PPA) with Lufubu Power Company to procure 163 MW of baseload hydropower.
📈 INVESTMENT LANDSCAPE: The inaugural Invest Zambia International Conference (IZIC) convened nearly 2,000 delegates, including government officials, investors, industry leaders, diplomats, and development partners. A report by the World Bank echoed the favourable economic outlook forecast by Finance and National Planning Minister Situmbeko Musokotwana in June. The Government collected K70.3 billion in tax revenue during the first six months of 2025, surpassing its target of K67.4 billion by K2.9 billion. The International Monetary Fund (IMF) announced plans to immediately disburse $184 million to Zambia. President Hakainde Hichilema officially launched Growth Investment Partners (GIP) Zambia, an initiative designed to channel more than $300 million into up to 150 Zambian small and medium-sized enterprises (SMEs).
A CLOSER LOOK
Mining Developments
At the Invest in Zambia International Conference in Lusaka, President Hichilema announced that the country is on track to reach one million tonnes of copper production this year, in line with the new dawn government's goal of three million tonnes by 2030. The President noted the country’s renewed mining momentum driven by reforms aimed at unlocking dormant assets and attracting large-scale investment. Key among these efforts has been the reopening of previously inactive sites, including Kalengwa and Shaft 28 at Luanshya. President Hichilema also highlighted Zambia’s stable legal environment, which he said guaranteed the safety and protection of investors and businesses.
Vedanta Resources has started an ambitious $400 million renovation of Konkola Copper Mines’ smelter in the Copperbelt, following its mid‑2024 return to operational control. Funds include $250 million for debt repayment, $124 million in instalment payments and $26 million toward underground operations and community development. The overhaul, which will focus on foundation reinforcement, refractory lining replacement, furnace modernisation, and emissions controls, aims to lift annual smelter output from under 30,000 tonnes today to 300,000 tonnes by the early 2030s, closing a 270,000-tonne production gap.
In other mining news, the Zambian Ministry of Mines and Minerals Development, with the British Geological Survey, launched Critical minerals potential of Zambia, an online guide funded by the UK’s FCDO and BGS’s International Geoscience Research and Development programme. The report profiles eleven priority minerals and gives geology, production and exploration insights. Clive Mitchell, the project leader, said, “The lithium, graphite, cobalt and other critical mineral resources of Zambia are sorely needed to decarbonise global power generation and storage.” The publication provides valuable information for investors, policymakers and researchers.
China has dispatched a fleet of 31 pure‑electric mining trucks from Breton Technology to an African branch of the 15th Metallurgical Construction Group for a copper project in Zambia. The trucks are slated to arrive in Durban after a 20–25-day voyage as part of a zero-carbon “mining robot system” that includes autonomous driving and clean-energy solutions. This deployment is a flagship element of China’s $5 billion commitment to enhance Zambia’s mining sector through to 2031. "The overseas cooperation [is] the first large-scale deployment of electric mining trucks at one go to a mining project in Africa. It will help further upgrade the local mining equipment", said Li Wenjie, the chairman of China’s 15th Metallurgical Construction Group's construction trade company in Africa.
India has sent a team of geologists to survey a 9,000 km squared exploration zone in Zambia focused on cobalt and copper. Over a two to three-year program, the team will map cobalt deposits - vital for electric-vehicle and battery production - and copper reserves used in power generation and electronics. The initiative follows an exclusive exploration agreement granted to India and is supported by partnerships with KABIL and private sector investors. Upon completing the survey, the government plans to apply for mining leases and forge downstream processing ventures.
Energy
Meanwhile, Zambia’s state-owned IDC signed a memorandum of understanding with Fujian Xiang Xin Corp. to develop an $1.1 billion oil refinery that will process about 60,000 barrels a day. The planned facility, set to be located in Ndola in the Copperbelt province, will have the capacity to process up to 3 million tonnes of crude oil annually. The refinery will also feature a 130-megawatt power generation plant, with 100 megawatts of electricity to be fed into the national grid, contributing to Zambia’s energy security. The project is expected to generate approximately 2,200 jobs across civil works, mechanical and electrical installations, and logistics. Once operational, the complex is set to sustain about 600 direct jobs and more than 2,000 indirect roles in operations, supply chain services, maintenance, and support functions.
ZESCO, in collaboration with First Quantum Minerals, Barrick, ADC, and Zutari, has launched a 330 kV network upgrade across North‑Western Province to support the Kansanshi S3 and Lumwana Superpit expansions. In Phase 1, FQM is funding and installing two STATCOM units in Solwezi and Kalumbila to manage voltage fluctuations and secure grid stability. Phase 2, which is subject to final engineering and environmental approvals, will upgrade the main transmission corridors. Upon completion, the project is expected to deliver enhanced voltage regulation, boost transfer capacity, and facilitate greater integration of renewable energy.
ZESCO has also signed a 25-year power purchase agreement with Lufubu Power Company to procure 163 MW of baseload hydropower from a new plant in the Lufubu River in northern Zambia. The facility could be expanded in line with future demand and is expected to contribute approximately 5% of Zambia’s total installed capacity once operational. The project is intended to improve grid stability by reducing reliance on southern hydropower assets. “By leveraging the northern circuit’s untapped hydropower potential, we are future-proofing our grid against climate variability and aligning with Zambia’s broader ambitions to position itself as a regional hydropower exporter,” says ZESCO’s MD Justin Loongo.
Investment Landscape
The inaugural Invest Zambia International Conference wrapped up on Friday, 18. The conference convened nearly 2,000 delegates, including government officials, investors, industry leaders, diplomats, and development partners, to explore opportunities across energy, mining, agriculture, tourism, manufacturing, technology, and infrastructure. The conference, hosted by the Zambia Development Agency, generated over $3.0 billion in Memorandum of Understanding agreements, with more than 63 exhibitors showcasing investment-ready projects, while panel discussions and one-on-one meetings fostered strategic partnerships.
Earlier this month, a report by the World Bank echoed the favourable economic outlook forecast by Finance and National Planning Minister Situmbeko Musokotwana in June. The Zambia Economic Outlook Report predicts an increase in Real GDP by 5.8% and with an average growth rate of 6.5% for the years 2026 and 2027. “We must maintain the policy trajectory that has caused this to happen, of assuring that the budget is managed in a sustainable manner,” said the finance minister of the Report.
The Government collected K70.3 billion in tax revenue during the first six months of 2025, surpassing its target of K67.4 billion by K2.9 billion, according to the 2026–2028 Medium Term Budget Plan (MTBP). The overperformance in tax revenue was driven by stronger-than-expected returns across most tax categories. Total domestic revenues still reached K88 billion, aligning closely with government projections and demonstrating the resilience of the domestic tax collection even amid economic pressures.
At the same time, the International Monetary Fund announced plans to immediately disburse $184 million to Zambia, after the country agreed to expedite reforms to boost economic growth and collect more taxes. The disbursement brings the total received from the nation's 38-month IMF programme to $1.55 billion. The inflows from the IMF will support the kwacha and the nation’s recovery from a painful years-long debt restructuring that’s still to conclude and a once-in-a-generation drought.
President Hakainde Hichilema officially launched Growth Investment Partners Zambia, an initiative designed to channel more than $300 million into up to 150 Zambian SMEs over the next 15 years. The investment platform will be a partnership between Britain and Sweden’s development-finance arms and the Zambian National Pension Scheme Authority. “Zambia’s SME sector holds immense potential to drive inclusive growth and create jobs, but the right kind of capital remains elusive,” British International Investments Chief Executive Officer Leslie Maasdorp said. SMEs generate more than 70% of Zambia’s gross domestic product and 88% of employment.
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LONG READS
Zambia’s first critical minerals guide supports the country’s potential in global clean energy transition - (BGS, 18.07.25)
Zambia's Long Term Fiscal Stabilisation Will Support Investment, But Risks Abound – (Fitch Ratings, 24.07.25)
UPCOMING EVENTS
11 August — World Conference on Financial Accounting — Kitwe, Zambia
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