New Hope For Closed Munali Nickel Mine

By Gift N’gandu

Chikankata District, Zambia 

Zambia’s Munali Nickel Mine, 85 kilometres south of the capital Lusaka, is on the verge of resuming its stalled operations, three months after its sudden closure in July, sources close to the mine have disclosed to MakanDay and MazFm reporters.

Earmarked as a key employer in Chikankata district, the mine’s sudden closure in July devastated many families, with hundreds of workers and their families left distressed, the vast majority of whom were from the local area.

In a two-tiered ownership structure, operational control was held by London-based Consolidated Nickel Mines (CNM) through a lease and royalty agreement with Chinese owners, the Jinchuan Group.

CNM’s wholly-owned subsidiary, Mabiza Resources Limited, operated the mine up until its recent closure.

It is unclear what the new ownership structure will be.

MakanDay understands however that previous owners, Jinchuan Group, are set to lead the new ownership structure.

Reliable sources have confirmed that the mine is set to re-open, possibly as early as October next month.

One of the affected employees, Alberto Liselo, speaking on behalf of many workers, expressed deep disappointment over the mine’s unexpected shutdown in July.

“The closure of the mine affected me negatively, both as an individual and as a worker. We never saw it coming—no notice was given. The closure stemmed from mismanagement,” he told MakanDay journalists.

Liselo criticized the mine leadership, claiming management had failed to engage with workers and ignored their concerns.

“When you’re in management, you need to listen to your workers and understand how to lead. Unfortunately, the people in charge were making decisions without consulting us—the end users.

“Mismanagement, including unchecked theft, was a key reason for the mine’s downfall. As employees, we saw it happening and hoped it would be stopped,” he charged.

Responding to concerns raised by the former workers, a combined Maz FM and MakanDay team visited the mine site to assess the situation.

The first security checkpoint was abandoned.

A short distance away, the guard at the next boom-gate, which was closed, told the team that there was nobody inside at the mine.

Nevertheless shortly afterwards, a convoy of three vehicles driving fast approached from inside the mine, all three cars packed with workers in reflector work-suits.

Peter Tembo, an employee from the company expected to take over operations, offered a glimmer of hope.

“There is new hope,” he said.

“A new investor is coming on board,” Tembo added.

“While it’s still in the early stages, we’ll share more information once preparations for the official re-opening are complete.”

Tembo’s disclosure was corroborated by two additional sources, including confirmation from a Chinese official who wished to remain anonymous.

Oliver Mulomba, Mazabuka District Commissioner (DC) confirmed in an exclusive interview, that the closure was largely due to financial challenges faced by the mine’s shareholders.

“From the facts we’ve gathered, the mine closed because of a lack of funding. The two original shareholders were hesitant to continue financing operations as they were still trying to recoup their investments.

“A third shareholder has since joined negotiations, and there’s talk of an injection of about $9 million to revive the mine,” Mulomba disclosed.

However, government strongly opposes the mine’s closure, particularly in light of the national push to re-open long-dormant mines across Zambia, Mulomba noted.

“We can’t allow this mine to remain closed, especially when the Republican President has been working hard to re-open mines that have been shut for decades,” he said.

“We made this clear during our visit in June/July with the Mayor and Town Clerk. After our report, the Minister also visited the site,” he added.

Mulomba confirmed that communication had been received indicating that workers are being called back, suggesting that the shareholders have agreed to move forward.

“This is a good sign. It means the three shareholders have come to an agreement to invest more. As government, our position is clear—we want the mine to remain operational so that workers can keep their jobs and earn their salaries.”

However, he acknowledged worker frustrations over “third leave”, a temporary leave arrangement that was meant to end on 30^th July 2025, but was extended indefinitely.

“That indefinite leave was a major concern. But we can’t employ all those workers overnight. That’s why we’re insisting that the mine be brought back into operation so these people can continue working,” he added.

He revealed that the matter had reached the highest level of government.

“The issue is being handled by the Minister, who visited State House on 17^th September. That shows how serious it is. We are not sitting back—we are deeply concerned about the livelihoods of our people.”

Nickel is increasingly becoming a critical raw material, largely used as an alloy for steel.

it is also projected to become a key component in the electric vehicle value chain, with demand expected to rise globally.

Last available production figures by Consolidated Nickel Mines, the previous operators of Munali Nickel Mine, listed production of 3,321 tonnes of high grade nickel ore in 2023.