Zambia Regulator OKs Maamba Collieries Take over by Nava Bharat

Zambia's Competition and Consumer Protection Commission, or CCPC, has cleared the takeover of a 65% stake in the country's largest coal miner, Maamba Collieries Ltd. by India's Nava Bharat Ventures Ltd (Devineni Ashok, Executive Chairman). The transaction doesn't raise any competition and public concern issues, and has therefore been authorized by the CCPC, it said in a statement. T

he takeover will provide Maamba with fresh capital to boost coal production and will not compromise its customers because they have alternative sources of coal supply both in the domestic and import markets, according to the CCPC. Last year, Nava Bharat announced that it would invest around $600 million in Maamba in the next 18 months to construct a coal processing plant and a 300- megawatt coal-fired thermal power plant.

Until 2008, Maamba was the leading supplier of coal to Zambia's copper and cobalt mines on the Copperbelt and North Western provinces, but inadequate investment and labor strikes hampered the company's operations, compelling mines to resort to more expensive imported coal.

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