Power Outages Impact Jubilee Metals Copper Output in Zambia

Jubilee Metals

Jubilee Metals, a mining company listed in London and Johannesburg, has reported a decline in copper production at its Roan facilities in Zambia due to unplanned power outages on the national grid. The outages have significantly disrupted operations, with the company highlighting a "noticeable increase in the number of hours of production lost." Uncertainty persists regarding how long these disruptions will continue, leaving the company’s production outlook for the second quarter of the 2025 financial year in question.

Differential Impact Across Jubilee’s Sites

While the power outages have hit the Roan site hard, other Jubilee operations have been less affected:

• The Sable refinery has maintained more stable production, thanks to its private electricity supply.

• Operations at the Munkoyo copper project and the Project G open-pit copper mine remain unaffected.

The resilience of certain facilities underscores the importance of diversified energy sources for mining operations, especially in regions prone to grid instability.

Production Targets at Risk

Jubilee Metals has set a total copper production target of 5,850-7,500 tonnes (t) for the 2025 financial year, a significant increase from the 3,422 tonnes produced in the 2024 financial year ending in June. However, the ongoing power issues at Roan cast doubt on whether the company can meet its quarterly and annual targets.

Despite these setbacks, Jubilee’s operational diversification and private energy solutions at certain sites offer some mitigation against the broader impact of Zambia’s grid challenges. However, the lack of clarity regarding when stability might return makes forward planning difficult.

Zambia’s Power Challenges and the Mining Sector

Power outages in Zambia, a key copper-producing nation, highlight broader challenges in ensuring stable energy supplies for the mining sector. As the country grapples with energy infrastructure issues, companies like Jubilee Metals are exploring alternative solutions to safeguard production and meet rising demand for copper, a critical metal in renewable energy and electric vehicles (EVs).