FQM pays $3.5bn tax to ZRA
FIRST Quantum has paid $3.5 billion in taxes to the Zambia Revenue Authority (ZRA), US$200m to ZCCM-IH as dividends while US$100m has gone towards investment in community development, country manager, Kingsley Chikuli has disclosed.
General Chinkuli explained that the figures reflect the important role mining companies play in the Zambian economy.
Gen Chinkuli said the current investment by FQM into the Zambian economy totalled over US$5bn, adding that this investment in turn delivers tangible social improvement to thousands of Zambians.
He noted that this clearly shows that what is good for the investor is good for Zambia.
Gen Chinkuli said that through the Chamber of Mines, the mining industry enjoys an open and honest relationship with the government, and that a natural equilibrium must be sought to ensure that all Zambians get their fair-share of the profits.
“A good example to showcase this relationship is the Solwezi-Chingola Road; a strategic artery which carries up to 60 percent of Zambia’s mineral wealth.
“The government came to us at the onset of the rains and said they needed assistance to keep this road open to businesses and communities. First Quantum has unilaterally rehabilitated this road to a high standard,” Gen Chinkuli said.
And First Quantum Minerals’ subsidiary Kansanshi Mine recorded the highest levels of copper production among the major mines in Zambia in 2015, according to the just-published summary of the Extractive Industries Transparency Initiative (ZEITI) 2015 report.
The report also confirmed that the Zambian government recorded payments of more than K9 billion from the mining sector during 2015. Of that, copper and cobalt producers contributed 86 percent (K7.8 billion) and cement producers 7 percent, with other extractive producers accounting for the remaining 7 percent.