Trafigura wins $92 million arbitration award against Zambia’s ZCCM-IH

A London arbitration tribunal has ordered ZCCM Investments Holdings Plc, Zambia’s majority state-owned investment company, to pay Trafigura about $92 million in a dispute over a prepayment agreement with Konkola Copper Mines (KCM). The tribunal issued its final award on May 22, according to a report made byInvesting. The award comprises $69.3 million in principal and $19.7 million in interest accrued through March 31, plus arbitration costs and Trafigura’s legal fees, ZCCM said in a statement published on the Lusaka Securities Exchange.

The tribunal also ordered ZCCM to pay £1.78 million toward Trafigura’s legal costs, representing 90 percent of those costs, and £73,525 toward arbitration costs. Trafigura initiated the case in February 2024 under the London Court of International Arbitration Rules 2020 over a prepayment agreement with Konkola Copper Mines, which was operated at the time by ZCCM. The tribunal issued a partial final award on Dec.

16, 2025, determining that a guarantee in favor of Trafigura dated July 28, 2021, is binding on ZCCM. Additional contractual interest continues to accrue on $55.1 million from April 1 to the date of receipt of the final award, and thereafter on all outstanding sums, at a variable rate of SOFR plus 5 percent per annum, compounding monthly. Interest on a separate category of outstanding contractual amounts accrues from Nov.

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25, 2023, until payment at a variable rate of SOFR plus 2.5 percent per annum, compounding monthly. ZCCM is evaluating its legal options regarding the final award and remains committed to safeguarding shareholder interests, the company said. The firm advised shareholders and members of the investing public to exercise caution when dealing in its securities until further information is published. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express permission from ZAMBIA MONITOR.

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