China Construction Bank provides $70 million loan to Chambishi Copper Smelter Limited for working capital purposes

Project narrative

On August 12, 2009, the Johannesburg Branch of China Construction Bank and Chambishi Copper Smelter Limited (赞比亚谦比希铜冶炼有限公司) — a special purpose vehicle and joint venture of CNMC (60% equity stake) and Yunnan Copper Group (40% equity stake) — signed a $70 million loan agreement for working capital to support the Chambishi Copper Smelter. The loan carried a 3-year maturity (final maturity date: August 17, 2012), but its other borrowing terms are unknown. The loan was guaranteed by China Nonferrous Mining Corporation Limited and collateralized against a security deposit of $2 million (provided by Chambishi Copper Smelter Limited). CCS was responsible for the construction and operation of the Chambishi Copper Smelter. The construction of the smelter began in November 2006 and was completed in December 2008. Commercial production of blister copper commenced in February 2009. Then, in 2010, CCS launched a smelter expansion project. In the first quarter of 2024, the Chambishi Copper Smelter cut one-fifth of its production due to power shortages in Zambia.