Chambishi Metals Plc

In its agreement with the government, AVMIN committed to spending a minimum of $70 million to rehabilitate the cobalt and acid plants (Chambishi Plant), construct a new smelter and related facilities adjacent to them, and exploit the slag dumps. The project enterprise Chambishi Metals Plc (CM-PLC)is expected to be commissioned in 2001. It is expected to produce 4,000 tons of cobalt and 7,000 tons of copper a year for at least 20 years.

CM-PLC will contribute to the development of the area by procuring 74 percent of the project's inputs locally and paying approximately $62.4 million in taxes in the first five years of operation. In addition, AVMIN will provide extensive training both domestically and in South Africa to improve CM-PLC's information systems, technical capabilities, and financial, administrative, and customer services. CM-PLC also will establish a $100,000 community investment fund to help finance local projects, such as recreational services.