Vedanta Resources’ Zambian unit, which is in provisional liquidation, is fighting to keep the lights on after a power company threatened to reduce supply because of a $132-million bill, according to court filings.
Konkola Copper Mines Plc, Zambia’s biggest single power user, on May 13 won an interim order from the High Court preventing Copperbelt Energy Corp. from curbing its electricity. KCM disputes the payment that CEC is demanding, and says power restrictions would cause irreparable damage to its facilities, according to an affidavit from the mining company.
The case is the latest in a series of financial troubles at KCM, which the government placed under provisional liquidation a year ago, through a State-owned minority shareholder. It’s also not the first time that CEC has moved to restrict supplies because of non-payment; there was a similar dispute in 2014.