.png)
The Zimbabwe Diamond and Allied Minerals Workers Union (ZDAMWU)’s bid to place RioZim Limited under a court-supervised corporate rescue has taken a key step forward after the High Court in Harare set a date for the next stage of proceedings, Mining Zimbabwe can report.
By Rudairo Mapuranga
The case, lodged under High Court reference HCH2215/25, pits the union, alongside applicants Precious Mwanza and Owen Kapeta, against RioZim, the Master of the High Court, and the Registrar of Deeds and Companies. The applicants argue that a judicially managed rescue process is essential to safeguard workers’ rights and ensure transparent use of the company’s planned US$21 million investment.
Court moves proceedings forward
On Friday, 8 August 2025, Justice Mandaza issued a Case Management Order directing the applicants to file their Notice of Setdown by 13 August 2025. This procedural step will formally schedule the matter fora hearing, bringing the corporate rescue bid closer to a decisive ruling.
T.L. Mapuranga appeared for the applicants, while RioZim was represented by E. Donzvambeva. The Master of the High Court and the Registrar of Deeds and Companies did not appear.
Investment hangs in the balance
The proceedings come as RioZim’s US$21 million investment plan, critical for maintaining operations and employment, remains uncertain. Union officials have warned that without court oversight, the funds may not be deployed in ways that prioritise worker welfare or long-term company stability.
“The workers are not against investment,” a union representative told Mining Zimbabwe. “But we believe corporate rescue under the court will ensure these resources are managed transparently, avoiding decisions that could undermine jobs and livelihoods.”
Industry and investor concerns
Mining analysts say the case will be closely watched by both workers and investors. If corporate rescue is granted, RioZim’s management structure, debt arrangements, and capital expenditure priorities could be reshaped under court-appointed supervision.
Such an outcome could bring greater transparency but also risks delaying key projects if prolonged legal wrangling stalls implementation. With the mining sector contributing significantly to Zimbabwe’s export earnings, the resolution of the RioZim case could set a precedent for how distressed mining companies navigate large capital injections.
What’s next
The filing of the Notice of Setdown will set the date for a full hearing, where the court will weigh arguments for and against imposing corporate rescue measures. The outcome could influence not only RioZim’s immediate investment strategy but also broader policy debates on balancing worker rights with investor confidence in Zimbabwe’s mining sector.
