A more than six-fold increase in electricity prices since 2008 and erratic power supply have negatively affected local processing.

The Anglo subsidiary was already working with the previous administration on ways to improve the crucial infrastructure.

Under current legislation, the government is entitled to offer to buy as much as 15% equity in any new mining entity.

This milestone marks the first metal production from Kabanga since the deposit’s initial discovery in 1975.

A senior White House adviser said lifting that punishment is necessary to open up the assets to new investments that support US interests.

Africa’s second-largest copper producer is seeking to take advantage of what many predict will be a supply shortfall in the coming years.

Anglo plans to divest less profitable assets and focus on expanding copper output.

Amplats also said it had cut some 3,700 jobs to reduce spending ahead of the demerger.