KCM to Pay Suppliers for January, February

KONKOLA Copper Mines has said it will pay outstanding amounts to suppliers and contractors for January and February this year.

KCM chief executive officer, Kishore Kumar, in a letter addressed to Mine Suppliers and Contractors Association president, Sampa Banda, said the company would pay for services and goods by May 21, 2009.

Mr Kumar said KCM had been experiencing challenges in the last eight months and suffered serious financial loses due to the low copper prices on the global market.

He however said he was grateful for the relationship that existed between KCM and the suppliers and also for their contribution to the effective operation of the company.

And Mr Banda said he was humbled by the fact that the senior most person at KCM was attending to the plight of mine suppliers and contractors.

Speaking when he addressed mine suppliers and contractors in Kitwe on Wednesday, Mr Banda said KCM had cleared all outstanding invoices dating up to December, 2008.

“I am told KCM cleared all outstanding invoices dating December, 2008, we need to check our records and verify if they have really paid us,” he said.

Mr Banda also said due to the delay in the payments, most suppliers and contractors were finding it very difficult to pay tax to Government.

“KCM should make an effort to resolve this issue of payment for the good of our relationship, most of these companies are even failing to pay tax to Government, which is a serious problem,” he said.

Mr Banda said the mine should also be sincere in the manner it paid its suppliers and contractors.

“From the look of things, some suppliers have been paid and as a result they have shunned the discussion, so KCM has to be sincere in the way it makes these payments,” he said.