Zimplats Resumes Expansion Plans, Progresses on Refinery Development
The country’s largest PGMs miner, Zimplats, has resumed its expansion plans, as it works to bring the refining stage to Zimbabwe—a significant step forward in beneficiation.
By Ryan Chigoche
This development comes as the sector anticipates rising and stabilizing prices.
Last year, the miner temporarily halted its expansion plans when platinum prices fell sharply, forcing miners in Zimbabwe to delay their projects. For Zimplats, this meant postponing key initiatives under a US$1.8 billion investment plan and reducing its workforce.
From mining the ore underground, the rock is taken through a concentrator, where only 3% of the material is recovered, with 97% discarded. The concentrate is then processed in a furnace to remove further waste. It is then sent to a converter for additional purification. At Zimplats, this is where their process currently ends, after which the material is exported for refining.
While addressing delegates of the SADC Industrialisation tour at the mines, Managing Director Segula revealed that they have resumed expansion efforts, working on a much larger smelter to bring the refining stage to Zimbabwe, highlighting the company’s growth.
“We are undergoing expansion. We are growing the business. I also need to mention that we are in the process of developing a smelter three times the size of our current one. This is yet another sign that the business is expanding and growing. This year, the value chain is focused on value addition, particularly at the refining stage, where the component metals are separated,” Segula said.
“But at Zimplats, we are currently in the midst of an investment to bring the first stage of refining to Zimbabwe as we advance in terms of value addition,” Segula added.
Zimplats is the largest PGM miner in the country, producing a total of 10 metals across its five mines in Zimbabwe.
During the Zimplats tour, Deputy Minister of Industry and Commerce Rajeshkumar Modi expressed his admiration for the company’s efforts in enhancing industrialization and growth, as well as its community development initiatives.
“You are doing very well. I’m especially impressed by the work you are doing for the community. You have significantly developed the communities of Ngezi, which is commendable, unlike some miners who exploit resources while damaging the environment without providing any benefits to the communities where they operate,” Modi said.
Zimplats has made substantial investments in education, skills development, health, and infrastructure, including schools, roads, and other community projects.
The company has established dairy and agricultural projects, with some exporting to the region.
Zimplats has also partnered with the government to promote industrialization and support local enterprises. Currently, 23 companies owned by indigenous players have been capacitated and developed by Zimplats.
To date, Zimplats continues to support these companies by providing a stable market for their services, benefiting approximately 3,400 employees.
After taking over from BHP in 1999, Zimplats started with a 30% shareholding, which has since increased to 87%. The company is currently implementing cutting-edge technologies at its Mupani mine.
Zimplats began operations in Ngezi with open-pit mining, as opposed to the underground operations in Selous. After achieving success in Ngezi, they embarked on a significant expansion drive through two major phases.
The first phase produced 4.2 million tons per annum, followed by a second phase producing 6.2 million tons per annum. Currently, Zimplats is producing 7.9 million tons per annum.
The company operates five mines and three concentrators, which together process around 4.9 million tons per annum. Additionally, the Selous infrastructure houses another concentrator with a capacity of 2.2 million tons per annum.
As part of its expansion efforts, Zimplats is upgrading all its mines. The company recently commissioned its third concentrator plant and is expanding and extending the lives of its tailing storage facilities.
“These are major investments that we are undertaking. In terms of growth, we are expanding the smelter, which I mentioned earlier, to establish one of the largest smelters in the country,” Segula said.
He added that they aim to make Zimbabwe one of the few countries with the largest smelters in the region.