By Tinkerbel Mwila
Mining expert professor peter Chileshe has advised government through the ministry of mines to devise mechanisms aimed at helping mining companies that have run out of resources to keep their companies operational.
In an interview with phoenix news, professor Chileshe says threatening to revoke licences for mining firms that are not doing well will scare away potential investors.
He notes that it is essential for government to ensure that mining companies are given options on how to keep their companies running amidst the various challenges that they may be faced with after which their licenses can be revoked if nothing changes.
Professor Chileshe is of the view that revoking licenses without giving guidelines on how the company can remain operational is one way of scaring away potential investors stating that no investor wants to risk having their license revoked without being provided with solutions.
His comments come in the wake of revelations by mines ministry permanent secretary Barnaby Mulenga that Chambishi metals risks having its license revoked due to its failure to recapitalize the mine which is an essential requirement for a mining license holder.
PHOENIX NEWS