Zimbabwe to achieve a USD 12 billion mining industry by 2023

  Zimbabwe to achieve a USD 12 billion mining industry by 2023

Zimbabwe to achieve a USD 12 billion mining industry by 2023.

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The Zimbabwean government plans  to speed up exploration, evaluation and digitalization of selected reserved mining areas under the Ministry of Mines and Mining Development as part of wider measures to achieve a USD12 billion mining industry by 2023.

In order to achieve the agenda, the vision, the ministry has to stop issuance of special grants in the reserved areas under the Ministry of Mines and Mining Development until the exploration and evaluation is complete and implementation of a robust value addition program for diamonds

The Information Minister Monica Mutsvangwa told a post-cabinet in a media briefing that the issuance and renewal of special grants for the mining claims should be based on the financial and technological capacity to value addition.

“For renewal of special grants, consideration should take into account the period the Special Grant has been held as well as plans with milestones for value addition of the special grant.” She said

The Ministry of mines is expecting gold to the major driver in mining sector in order to achieve the aspiring target. The yellow metal is expected to contribute about USD4 billion to the USD12 billion dollar target by 2023. Mining is one of the major sectors of Zimbabwe’s economy, alongside agriculture, which is the mainstay of the economy.

The mining sector accounted for over 60 percent of Zimbabwe’s foreign currency receipts in 2019 and contributed around 16 percent to national Gross Domestic Product, according to the Chamber of Mines.

Economist said Zimbabwe is expecting its economy to expand by 7.4 percent in 2021 from a projected contraction of 4.5 percent this year due to the effects of COVID-19 pandemic.

Minister of finance Mtuli Ncube highlighted some major mining investment projects that are progressing well and are expected to feed into the country’s exports basket by 2023.

Leading mining concern investment is US$4, 2 billion Great Dyke Investments Platinum project, which is now under construction phase and the US$4 billion Karo Resources project, is poised to get to production before 2023.

Minister Ncube also highlighted the Arcadia Lithium Mine being developed as well as several coal projects sprouting in Matabeleland North — some of which the President toured in July.

“Examples of progress to date are the US$4, 2 billion Great Dyke Investments Platinum Mine already under construction. “There is also the US$4 billion Karo Resources Mhondoro-Ngezi Platinum project ahead of schedule. “Then the Arcadia Lithium Mine being developed and new coal mines opened,” he said

Arcadia complex is expected to pen in new Harare, with the firm confirming to have received several enquiries about its product while several uptake agreements have been penned with many global batteries and tiles manufacturing players. The lithium batteries are expected to lead the revolution in electric vehicles in the future. At policy level, government is reviewing and updating mining legislation to ensure it is in tandem with the set target.

There is also a deliberate push towards enhancing exploration and investment in mining as well as modernisation and computerisation of the mining title administration system.

Local benefaction and value addition of minerals is also another strategy, which will drive the sector’s export growth and this will also entail the creation of more high value jobs.

Mining sector is the second leading sector after agriculture in Zimbabwe currently employing millions of people.

Chen Williams

A young Energetic communication expert with an unrivaled ability to understand how to pitch stories objectively for financial publications and the Arts. Passionate about business, the youth in agriculture, video editing, photography, and music production.

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