London – Trusted Centre for Overseas Arbitration

U&M Mining Zambia Ltd v Konkola Copper Mines plc

Konkola Copper Mines plc owns one of the largest copper mines in the world, in Zambia. It engaged U&M, and in due course a Zambian U&M subsidiary incorporated for the purpose, to mine copper and waste. The parties' various agreements were subject to LCIA arbitration in London. U&M brought equipment to Zambia, said to be worth US$80 million, with which to perform its mining functions.

The parties fell into disagreement and KCM terminated U&M's agreement. It also obtained an ex parte injunction in the High Court of Zambia, backed with a penal notice, requiring U&M to leave the site and to hand over items of plant that KCM had claims to.