Edgar Lungu urges First Quantum Minerals to resolve tax dispute with Zambian authority
Lusaka — Zambian President Edgar Lungu wants his tax authority and First Quantum Minerals to speedily resolve a disputed $7.9bn tax bill that the copper producer received this week, his spokesperson said. Shares in the Vancouver-based company gained on the news. "It’s a policy of the government not to interfere with independent assessments made by the tax authority," Amos Chanda said by phone on Wednesday from the capital, Lusaka. "All we do is to encourage quick negotiation of the parties to get to an agreement quickly so that there are no anxieties on both sides." Shares in First Quantum, which derives 84% of its revenue from Zambia and accounts for more than half of the country’s copper production, fell 12% in Toronto on Tuesday, after it announced the tax authority had demanded the payment. The company "completely refutes" the assessment, which includes $5.7bn of interest, CEO Philip Pascall said on a call with investors Wednesday. The stock regained some ground on Wednesday, cl...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.