Shareholders are referred to the cautionary announcement, dated 27th September 2019, issued by the Board of Directors of Copperbelt Energy Corporation Plc (“CEC” or “the Company) informing the market that CEC was in receipt of a notice of intention to arbitrate from ZESCO Limited (“ZESCO”), pursuant to the Bulk Supply Agreement and Article 3 of the UNCITRAL Arbitration Rules 1976, resulting from ZESCO’s claim that CEC has failed to pay money due to them for electricity supplied under the BSA. The amounts outstanding relate to the supply of power by CEC to Konkola Copper Mines Plc. ZESCO’s other cited ground is its disagreement with a statement in CEC’s 2018 annual report relating to the contingent liability arising from the 2014 Energy Regulation Board electricity tariff increase specific to the mining companies, which the mining customers have legally contested and were granted a Court injunction, pending determination of the matter by the High Court for Zambia.
Shareholders are advised that the arbitration matter between ZESCO and CEC is in process and remains under adjudication.
Accordingly, shareholders are advised to continue exercising caution when dealing in the Company’s securities until a full announcement is made.
By Order of the Board
Julia C Z Chaila
Issued in Lusaka, Zambia on Wednesday, 15th April 2020
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First Issued on 27th September 2019