Zimbabwe spent about US$259 million on mineral fuels and mineral oils in July, making energy products the biggest component of the country’s US$1.15 billion import bill and underscoring the cost of powering an economy seeking to expand mining and industry, Mining Zimbabwe can report.
By Ryan Chigoche
Mineral fuels, mineral oils and products accounted for 22.5% of total imports during the month, ahead of machinery and mechanical appliances at 14.5%, according to data from the Zimbabwe National Statistics Agency.
The figures come as Zimbabwe pushes to raise mineral output and process more of its resources locally, a strategy that will require more power and fuel across mines, processing plants and transport networks.
That dependence on imported energy also puts the country’s emerging domestic gas industry into focus. Invictus Energy is exploring gas and condensate resources in the Cabora Bassa Basin, raising the prospect of a locally sourced energy supply if the resources can be proven commercial.
For Zimbabwe, the potential prize extends beyond replacing part of the import bill. Domestic gas could provide an additional source of energy for power generation and industry at a time when electricity supply remains a constraint on investment and production.
Invictus is preparing to drill the Musuma-1 exploration well in November as it advances its assessment of the basin. The company has also identified gas-to-power as a potential commercialisation route, including a proposed pilot project linked to Eureka Gold Mine.
A successful gas development could eventually reduce some demand for imported energy, although it would not directly replace all of the products captured under the mineral fuels and mineral oils category. Petrol and diesel used by vehicles, mining equipment and generators would continue to require their own supply chains.
The distinction matters because the US$259 million figure covers energy products imported across the economy, rather than fuel consumed by the mining industry alone.
Mining is nevertheless an important part of the equation. Zimbabwe is targeting higher production of gold, platinum-group metals, lithium and other minerals, while investment is also moving towards processing and beneficiation.
Those activities are energy-intensive. Diesel is used extensively in open-pit operations, haulage and mobile equipment, while processing plants depend on reliable electricity to maintain production.
The country’s ability to secure affordable energy is therefore becoming increasingly tied to its ambitions to attract capital into new mines and downstream processing.
For now, the July trade data shows the size of the bill Zimbabwe is paying to meet its energy requirements from abroad.
The development of domestic gas offers a potential way to ease that dependence, but the scale of any benefit will ultimately depend on exploration results, commercial viability and the infrastructure needed to bring the resources to market.
The immediate figure is clear: at roughly US$259 million, mineral fuels and mineral oils alone accounted for more than a fifth of Zimbabwe’s imports in July.
