President Hakainde Hichilema used a meeting with International Resources Holding’s chief executive to press for higher output at Mopani Copper Mines and full compliance with Zambia’s local content rules, days after the mine’s state shareholder accused the Abu Dhabi company of falling short on its funding commitments.
KEY TAKEAWAYS
- President Hichilema met Ali Rashed Alrashdi, Chief Executive Officer of International Resources Holding (IRH), in Abu Dhabi on 28 September, during his two-day working visit to the United Arab Emirates.
- IRH owns 51% of Mopani Copper Mines through Delta Mining Limited, with ZCCM Investments Holdings (ZCCM-IH) holding 49%, after a US$1.1 billion transaction completed in March 2024.
- The President said Mopani is central to Zambia’s target of three million tonnes of copper a year, against national output of about 890,000 tonnes in 2025.
- He called on mining companies to give full effect to the local content law, which from 2026 requires miners to buy a rising share of goods and services from Zambian-owned firms.
- The meeting followed an 18 September letter, reported by Bloomberg, in which ZCCM-IH accused the IRH side of funding and operational shortfalls; IRH says the partners are resolving concerns through shareholder channels.
President Hakainde Hichilema has told the Abu Dhabi owner of Mopani Copper Mines that the Mufulira and Kitwe operation must carry a large part of Zambia’s push to triple copper output, and that more of the money it spends must stay with Zambian suppliers.
The President met Ali Rashed Alrashdi, Chief Executive Officer of International Resources Holding (IRH), on Monday afternoon on the sidelines of his working visit to the United Arab Emirates. IRH, a unit of Abu Dhabi’s International Holding Company, owns Mopani together with the state-controlled ZCCM Investments Holdings.
“Raising copper production to three million tonnes a year is central to our Grow Zambia agenda, and Mopani Copper Mines is key to reaching that target for the benefit of its shareholders and, above all, the Zambian people,” the President said in a statement after the meeting.
What did the President ask of IRH?
Two things. The first was production. Mopani is one of the Copperbelt’s oldest mining complexes and one of the few large assets where the government, through ZCCM-IH, still holds a big direct stake, so its output feeds straight into the national target and into dividends that could one day flow back to the state.
The second was local content. “We underscored the need for mining companies to give full effect to the Local Content law so that more Zambians participate in, and benefit from, the mining sector,” the President said. He added that government remains committed to ensuring natural resources, “copper chief among them, deliver real benefits to our people”.
How far is Zambia from three million tonnes?
Some distance. Zambia produced about 890,346 tonnes of copper in 2025, up 8% on 2024, according to Ministry of Mines figures reported in January. Government expects to pass one million tonnes in 2026. The official target is three million tonnes a year by 2031, which means output would have to roughly triple in six years.
| Measure | Figure |
|---|---|
| Zambia copper output, 2025 | 890,346 tonnes |
| Government expectation, 2026 | Above 1 million tonnes |
| National target, 2031 | 3 million tonnes a year |
| Mopani cathode output, June 2026 | 5,140 tonnes |
| IRH production goal for Mopani, 2029 | 300,000 tonnes a year |
Copper earns more than 70% of Zambia’s export revenue, so the pace of expansion at the big mines shapes the kwacha, the Treasury’s mining tax receipts and the order books of thousands of Copperbelt contractors.
Where does Mopani stand?
ZCCM-IH took full control of Mopani from Glencore in 2021 for a nominal US$1, inheriting about US$1.5 billion of debt owed to the Swiss trader. After a search for a strategic partner, IRH completed its purchase of a 51% stake in March 2024 in a deal valued at US$1.1 billion. That included US$620 million of new equity to be injected in stages and close to US$400 million used to settle part of the Glencore debt.
IRH has set a goal of 300,000 tonnes of copper a year by 2029. The latest monthly data show the scale of that climb. Mopani produced 5,140 tonnes of copper cathode in June 2026 from 289,000 tonnes of ore processed, according to industry data service SMM, roughly in line with its monthly target but a long way below the run rate a 300,000-tonne year would need.
The shareholder dispute in the background
The Abu Dhabi meeting came as the relationship between the two owners is under strain. In a letter dated 18 September and reported by Bloomberg on 28 September, ZCCM-IH accused IRH’s Delta Mining of “pervasive and sustained” funding and operational failures.
According to the reported letter, only US$62.3 million of a US$308.1 million project budget had been spent by March 2026, about a fifth of the total. ZCCM-IH also said Delta had missed US$61 million of its minimum contributions for 2025, used contractors it considered unqualified and drawn on costly borrowing from affiliates without approval. It said cathode output was running more than 50% below the business plan.
IRH has said both parties maintain “a strong and constructive relationship” and are addressing the concerns through shareholder channels. The President’s statement did not refer to the dispute.
What does the local content law require?
The rules the President referred to sit in the Geological and Minerals Development (Local Content) Regulations, Statutory Instrument No. 68 of 2025, made under the Geological and Minerals Development Act of 2025. They took effect on 1 January 2026.
- Non-core goods and services that mines depend on are reserved for local companies.
- Miners must direct a rising share of annual procurement to local suppliers: 20% by 30 June 2026, 25% within a year, 35% within two years and at least 40% within five years.
- A local company is defined by the Citizens Economic Empowerment Act of 2006, covering citizen-empowered firms (25% to 50% Zambian ownership) and citizen-owned firms (more than 50%).
- Mining companies must report procurement and supplier details to the Ministry of Mines and Minerals Development every quarter.
For a mine the size of Mopani, the procurement bill for fuel, haulage, catering, security, maintenance and engineering services covers a long list of contracts. How much of that reaches Zambian-owned firms is the practical test of the law.
What it means for business and investors
For Copperbelt suppliers, the President’s message is a signal that government intends to enforce the 2026 procurement thresholds with its largest foreign partners, not only with smaller operators. Firms that want a share of Mopani’s spending will need to be registered as citizen-owned or citizen-empowered and able to meet the mine’s safety and quality standards.
For investors, Mopani is the clearest test of Gulf capital in Zambian mining. The UAE is pitching for more deals during this visit, and the way IRH and ZCCM-IH settle their disagreement over funding will be read by other investors weighing Zambian assets.
For the Treasury, a faster ramp-up at Mopani would lift mineral royalty and corporate tax receipts and, over time, dividends to ZCCM-IH. Continued delays would push more of the three-million-tonne burden onto Kansanshi, Sentinel, Konkola and new projects in North-Western Province.
Why should ordinary Zambians care?
Mopani employs thousands of people in Mufulira and Kitwe, and its spending supports many more jobs in transport, retail and small engineering firms across the Copperbelt. If the local content thresholds are met, a larger share of the mine’s purchases would go to Zambian companies rather than imported suppliers, which is where most new Copperbelt jobs are likely to come from.
The President is due to conclude his visit on Wednesday. The Zambian Economist will report on any agreements signed with the UAE and on further developments between Mopani’s shareholders.
Related reading: Hichilema Arrives in Abu Dhabi as Zambia Presses the UAE for Investment and a Trade Deal, Inside Statutory Instrument 68: Zambia’s New Local-Content Rules for Miners and Mapping the Copper FDI Pipeline: Vedanta, Mopani and First Quantum’s Zambian Bets.
On the copper target: Zambia’s Copper Engine: From 890,000 Tonnes to a 3-Million-Tonne Ambition, Zambia’s Copper Target Needs an Economy Built Around It and Hichilema Warns Mopani Copper Mines Over Unpaid Pensioner Benefits. More in our hub: Economic Diplomacy and Zambia in the Global Economy.
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