By Darius Choonya
The Court of Appeal has issued a significant ruling that halts the seizure of Konkola Copper Mines (KCM) properties, valued at K38.9 million, while the mining company’s appeal against the enforcement order is being reviewed. This decision provides temporary relief to KCM, which is currently embroiled in a legal dispute with Copperbelt Energy Corporation PLC (CEC) over unpaid debt.
CEC had previously secured a High Court order authorizing the seizure of various assets belonging to KCM. These assets included a range of goods, chattels, and other properties that the energy company claimed were necessary to recoup the debt incurred by KCM. The enforcement action was part of CEC’s efforts to recover the outstanding amount through legal channels after KCM allegedly failed to meet its payment obligations.
However, KCM challenged the seizure order by filing an appeal. In response to the ongoing legal process, the Court of Appeal granted an ex-parte order that temporarily suspends the execution of the High Court ruling. This suspension covers all actions related to the seizure, including the public advertisement and subsequent sale of the seized assets. The execution of the order will remain on hold until KCM’s appeal is fully resolved or until further instructions are issued by the court.
In a further development, the Court of Appeal has directed that all items which were seized by the Sheriff of Zambia on March 18, 2025, must be returned to KCM immediately. This directive is aimed at preserving the status quo for KCM’s assets while the legal dispute is under review, ensuring that no irreversible actions are taken during the appeals process.
The case has attracted significant attention as it underscores the challenges faced by major players in Zambia’s mining sector, particularly when disputes over unpaid debts escalate to legal confrontations. The seizure order by CEC, and the subsequent appeal by KCM, highlight the ongoing tensions between key stakeholders in the energy and mining industries. These disputes are not only about recovering funds but also about protecting the operational capabilities and asset base of vital national industries.
