Zimplats Reports 3% Rise in Mined Volumes
Zimbabwe Platinum (Zimplats) has reported a notable 3% increase in mined volumes in its latest quarterly update, primarily due to increased production at its Mupani Mine.
By Ryan Chigoche
This growth demonstrates the company’s resilience, coming despite ongoing challenges from declining global metal prices, which have created a tough market environment.
To bolster its energy security, Zimplats has also commissioned a $36 million solar plant. This facility marks the first phase of a broader initiative to develop a total of 185 MW of solar power, crucial for supporting the company’s ambitious $1.8 billion expansion projects.
Zimplats has also enhanced capacity, successfully increasing Bimha Mine’s annual production capacity from 2 million to 3.1 million tonnes. Additionally, the development of Mupani Mine is progressing well, with plans to reach full production of 3.6 million tonnes per year by FY2029.
In response to the challenging global market that has impacted profitability, the new solar facility is expected to significantly reduce Zimplats’ reliance on imported electricity. Historically, this dependence has inflated operational costs by 40%, compounded by persistent power shortages and high tariffs in Zimbabwe. The solar energy investment aims to reduce pressure on the national grid while providing reliable power for Zimplats’ operations.
Alongside the solar initiative, Zimplats has implemented upgrades at Bimha Mine to offset anticipated production losses from the nearing end of operations at Mupfuti Mine, scheduled for closure by 2029. As of September 30, 2024, Zimplats has invested $413 million across various projects, aligning closely with a budget of $468 million.
The expanded smelter is currently undergoing commissioning, with the first matte produced this month, further demonstrating Zimplats’ commitment to boosting its operational capacity.
During this period, Zimplats has also effectively managed the closure of Ngwarati Mine in June 2024 by increasing output from Rukodzi Mine’s pillar reclamation and continuing production at Mupani Mine.
Overall, Zimplats’ proactive investments in solar energy and mining capacity not only strengthen its operational resilience but also reinforce its position as a leader in Zimbabwe’s platinum sector, enabling the company to navigate a complex mining landscape and prepare for future challenges.