By Nicholas Bariyo

Special to

Workers and management at Lumwana copper mine in Zambia have agreed a 10% pay rise following weeks of negotiations, a union official said Wednesday, as labor groups push for higher wages in Africa's largest copper-producing nation.

The deal marks another triumph for the country's mining unions, which have been in wage talks with several copper companies since late last year.

The company agreed to offer the miners a pay rise to help them cope with the rising cost of living, Joseph Chewe, the general secretary of the Mineworkers Union of Zambia told Dow Jones Newswires. A company spokesman couldn't be reached immediately for comment.

Zambian food prices have soared in recent weeks, sparking fears they could trigger food riots. The price of corn, the staple food for the country's 13 million people, has doubled in the past two months and the government has since threatened to introduce price controls. The inflation rate increased to 7.2% in December from 6.9% in November, propelled by higher food costs.

"We have managed to win a pay increment at Lumwana and our members are very pleased" Mr. Chewe said.

The deal will affect Lumwana's 1,500 miners.Lumwana, a unit of Canada-based Barrick Gold Corp. (>> Barrick Gold Corp.) becomes the third mining company in the country in just over a month to offer a pay rise in an attempt to avoid the sporadic mining strikes last year and in late 2011, though not on the scale of the wildcat action that paralyzed South Africa's sector.

Glencore International PLC (>> Glencore International Plc) and China Nonferrous Metals Co. (8306.HK) offered pay increments in December. Talks at Vedanta Resources PLC (>> Vedanta Resources plc), the largest employer in the country's mining sector, are continuing.

In February 2012, Barrick awarded an 18% pay increase to workers at Lumwana. Zambian miners unions negotiate annual labor deals.

Barrick acquired the mine in 2011 as part of its $7.5 billion takeover of Equinox Minerals Ltd. Lumwana produced 159 million pounds, or 72.1 metric tons, of copper in 2011 at total cash costs of $2.24 a pound, according to company data. The mine is expected to produce some 250 million pounds of copper in 2013.

Write to Nicholas Bariyo at nicholas.bariyo@dowjones.com.

Subscribe to WSJ: http://online.wsj.com?mod=djnwires