Power Outages Challenge Jubilee Metals' Operations in Zambia
Jubilee Metals is currently navigating through a challenging phase due to unexpected power outages affecting their Roan operations in Zambia. As the diversified metals processor works to optimize production, these power interruptions have led to a significant increase in downtime at its facilities. While the company continues to face obstacles, it is worth noting the resilience and proactive steps it is taking to mitigate the impact.
In a recent update, Jubilee Metals outlined how unplanned outages have caused disruptions across Zambia’s national grid, including intermittent blackouts. The Roan operations appear to be more impacted compared to the Sable refinery, mainly due to its reliance on the national grid for power as opposed to self-sustaining electricity supply. Meanwhile, operations at Munkoyo and Project G are reportedly on track, demonstrating a level of stable productivity amid the national power challenges.
As part of its response strategy, Jubilee is actively collaborating with Zambian authorities to manage the situation effectively. By working closely with officials, the company aims to coordinate outage timings better, which could help reduce unnecessary operational costs. However, there remains uncertainty about whether the production guidance for the second quarter of the 2025 financial year can be achieved, with management promising to keep stakeholders informed as the situation develops.
Amid these operational hurdles, Jubilee is making strides in boosting its capacity. Just last month, they celebrated the production of their first copper concentrate from the newly commissioned front-end module at Roan. This significant achievement is part of a larger strategy that targets an ambitious processing capacity of 25,000 tonnes of copper annually, leveraging its integrated Sable Refinery and upgraded Roan Concentrator.
Moreover, Jubilee has secured an increased allocation of power under a recent private purchase agreement, adding 2MW of power to ensure uninterrupted operations. This move is intended not only to maximize output but to solidify the company’s performance in Zambia’s burgeoning mining sector.
Jubilee’s strategy also includes reprocessing surface waste and developing its Large Waste Project, which houses over 260 million tonnes of copper-containing rock. It has successfully extended its due diligence period for this project and has negotiated significantly improved commercial terms, reducing the acquisition value to million. This adjustment demonstrates the company’s commitment to enhancing its operational portfolio while navigating through temporary setbacks.
In conclusion, while Jubilee Metals faces challenges from unforeseen outages, their proactive approach to managing operations illustrates their commitment to growth and resilience. The steps being taken today will likely pave the way for a robust future in Zambia’s mining industry.
Stay tuned for updates on Jubilee’s journey as they continue to harness Zambia’s rich resource potential. #Zambia #BusinessNews #MiningNews #WorldNews
