Bravura Confident Softening Commodity Prices Will Not Affect Their Operations
Pan-African mining company Bravura Group is confident that the softening of commodity prices will not affect their operations, even if prices remain low, due to their early planning before embarking on projects.
Rudairo Mapuranga
The group, which is currently undertaking exploration activities at the Selous Platinum Group Metals (PGM) project, the Manhize Iron project, and preparing to process lithium dumps at the former Kamativi tin mine, is confident that it will become one of the leading miners in Zimbabwe.
Speaking at a media briefing in Harare on Tuesday, Bravura Group General Manager Mr Gbenga Ojo said his company prides itself on planning ahead and had already anticipated softening commodity prices before starting their drilling campaigns or the manufacturing of the lithium processing plant for the Kamativi dump.
He said the company focuses on in-house investments and is not dependent on contractors to ensure that work is not disrupted due to contractual challenges.
“Before embarking on our projects, it is important to note that our choice of commodities—platinum, iron ore, and lithium—was strategic. The budget and finances required for these projects were secured beforehand. Regarding commodity prices and their impact on our projects, we have strategies to mitigate competition. One key strategy is our vertical integration. Historically, many mining companies have collapsed during commodity price crashes, which typically occur in five-year cycles. We anticipated this before starting. By being vertically integrated, we avoid issues like dependency on contractors, which became evident during COVID-19 when many companies faced crises due to contractor agreements. In our case, our drills are in-house, avoiding such contractual challenges. In conclusion, we have the budget and have analyzed the costs, taking into account the commodity cycle. Although there’s currently a dip, we remain confident in our strategies and operations.”