ZCCM Investments Holdings, the state-backed mining investment company tied to one of Africa’s largest copper-producing nations, announced the formation of a new gold-focused joint venture called Kyalo Goldfields Limited (KGL). 

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The project will focus on exploring and developing gold resources in the Kikonge Mining Area located in Zambia’s North-Western Province.

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ZCCM-IH will control 51% of the venture, while the remaining 49% will be owned by Mining Mineral Resources, a company with experience in mining tin, tantalum, and tungsten in the Democratic Republic of Congo.

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More than just copper

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Zambia’s economy has historically been heavily tied to copper production. It accounts for roughly 70% of Zambia’s export earnings, making the country highly exposed to swings in global copper prices and industrial demand. 

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Zambia is currently Africa’s second-largest copper producer behind the Democratic Republic of Congo, and the government has been aggressively trying to expand mining investment while diversifying into additional minerals, including gold, nickel, and critical battery metals.

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The new venture is also designed to formalize artisanal gold mining operations already taking place in the region.

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Artisanal gold

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According to ZCCM-IH, KGL will help regulate small-scale mining activity, improve operational safety, and eventually develop local gold-processing infrastructure to retain more economic value inside Zambia rather than exporting raw materials abroad.

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That could become increasingly important if gold prices remain elevated.

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Global gold prices have remained near record highs amid geopolitical instability, persistent inflation concerns, central bank buying, and growing concerns surrounding global debt levels. Many resource-rich African nations are now attempting to increase exposure to gold production as investors continue shifting capital toward hard assets and precious metals.

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Zambia has recently attracted increased interest from major mining companies and investors seeking exposure to copper, gold, and battery metals. Companies including BHP and KoBold Metals — the AI-driven mining company backed by Bill Gates and Jeff Bezos — have recently expanded mining and exploration efforts in the country.

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The global energy transition continues to drive long-term demand for copper and other critical minerals. But Zambia’s latest move suggests governments across resource-heavy regions increasingly want broader commodity diversification rather than remaining dependent on a single metal cycle.

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