Why is there no official gold production data from Kasenseli gold mine nearly 2 years after reopening?

Nearly two years after the reopening of […]

Nearly two years after the reopening of Kasenseli Gold Mine, Zambia’s second-largest gold mine, in November 2024, the state of gold production at the mine appears to be treated as a top secret as there has been no official announcement or disclosure of gold production figures.

Located in Mwinilunga District, North Western Province, Kasenseli Gold Mine had previously been shut down in October 2021 by the current government, and its reopening in November 2024 was heralded as a major milestone for Zambia’s mining sector, given the mine’s significance and potential economic contribution.

The history of Kasenseli is rooted in its discovery by local residents in Chief Chibwika’s area in July 2019, which led to a surge in local mining activity. The government directed to halt all mining. This led to the appointment of Zambia Consolidated Copper Mining-Investment Holdings (ZCCM-IH) to oversee operations on behalf of the state.

 However, the lack of official gold production numbers at Kasenseli since its reopening has raised growing concerns among stakeholders and the general public. With no official figures released, questions persist as to why production data is being withheld and what this could mean for the mine’s management and the broader mining sector in Zambia.

According to sources familiar to the operations at the mine, the new company formed, Kamushinshi Mineral Resources Ltd, is responsible for all mining operations including gold production numbers. The source noted that the Kamushinshi Mineral Resources Ltd has been officially designated as the corporate operator of the Kasenseli Gold Mine, holding full operational mandate and responsibility following the mine’s restructuring and reopening.

Although the transition has not been widely publicized, sources indicate that the formation of Kamushinshi Mineral Resources Ltd as a special purpose vehicle for the mine is now at an advanced stage. “The company has already established a board of directors, which is actively making key decisions regarding the mine’s operations.”

According to sources familiar with the transition, the separation process from previous operators has reached an advanced stage. The new company is fully established, with a board of directors already in place and all key financial and production operations being managed by Kamushinshi Mineral Resources Ltd. “The only step remaining is the employment of staff.

The company is ready, accounts have been set up, and production is now being managed by Kamushinshi Mineral Resources Ltd. The board is actively making decisions for the mine,” a source close to the development told the Zambian Business Times.

Article by Tyndale Muchiya