Interview: Hon Zhemu Soda Minister of Mines and Mining Development
Congratulations Hon. Minister for being appointed the Minister of a key Ministry, the best Ministry in our books. What is your vision for your term of office?
I thank you for congratulating me. I would also like to take this opportunity to thank His Excellency, The President for showing confidence in me to be at the helm of such an important Ministry. I am grateful for the support from the Ministry staff and all stakeholders so far. The Presidium also readily renders guidance that makes my job enjoyable. My vision as Minister of Mines and Mining Development is “A sustainable and inclusive mining sector that brings more value to the country and its people.”
Your thoughts on those who say Zimbabwe is a bad investment destination?
Zimbabwe’s mantra of being “open for business” and “being a friend to all and an enemy to none” and the re-engagement thrust have all collectively resulted in our investment destination being conducive and attractive. The investment interest we have registered in the mining sector since the inception of the 2nd Republic serves as testimony to this. The excellent economic performance of the country also serves as a factor in making the investment climate promotive of investment.
Can you provide examples of successful mining projects in the country where foreign investment has played a crucial role, showcasing the potential for lucrative returns on investment in the country’s mining industry?
The Mining Sector is a key player in the country’s economic development. The sector contributes more than 60% of Zimbabwe’s export receipts, attracts more than 50% of foreign direct investment (FDI), contributes about 13% to the country’s GDP and generates significant employment. A total of USD 5.3 billion was realized in foreign direct investment into major mining projects since the onset of the 2nd Republic to date.
The key investment projects include:
- Tsingshan Steel Plant Establishment – The Capital Investment for Phase 1 of the project is about USD1 Billion and is expected to have an annual turnover of over USD600 Million. The project is set to employ over 2000 people during the first phase. At full scale, the Steel company is expected to employ more than 10,000 workers directly while it will create employment for millions of Zimbabweans indirectly through the upstream and downstream industries.
- Blanket Mine – His Excellency, President Dr E.D. Mnangagwa officially opened Blanket Gold Mine Central Shaft on 17 November 2022. Caledonia Mine has also constructed a 12MW Solar Plant at Blanket Mine, at a cost of around USD14 million.
- Zimplats is undertaking a number of expansion and beneficiation projects at a total investment of USD 1.5 billion. Nearly 6000 jobs will be created during the course of the expansion
- Karo Platinum is developing a PGM concentrator Plant at a total investment of USD200 million.
- Dinson Colliery recently completed the establishment of a Coking Coal Plant at a total of USD70 million.
- Invictus Energy invested a total of USD18 million for the exploration of oil and gas in Muzarabani.
- Bikita Minerals invested a total of USD 300 million for the establishment of spodumene and petalite plant.
- Sabi Star invested a total of USD 130 million for the establishment of a spodumene plant.
What steps are being taken to improve the regulatory framework and streamline licensing processes for mining investments, reducing bureaucracy and accelerating project development timelines?
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