Multi-listed, gold-focused miner Caledonia Mining Corporation Plc is sharpening its focus on what could become Zimbabwe’s largest gold operation the Bilboes gold project, with the company exploring multiple funding routes to bring the $400 million capital-intensive vision to life, Mining Zimbabwe can report.
By Rudairo Mapuranga
Speaking to Mining Zimbabwe, Caledonia CEO Mark Learmonth described the Bilboes project as “transformational” not only for the company but also for Zimbabwe’s broader economic and mining landscape. The project is expected to produce approximately 1.5 million ounces of gold over an initial 10-year life-of-mine, positioning it as one of the most significant gold ventures in the country’s recent history.
“A project as big as Bilboes, if successful, would be transformational for Caledonia. It would also be transformational for Zimbabwe—not just in terms of economic contribution, but by forcing international investors to revisit and reconsider their misconceptions about Zimbabwe as a mining investment destination,” Learmonth said.
According to Learmonth, internal cash flows and external debt financing will be key pillars in advancing Bilboes, with the company deliberately seeking to minimise equity dilution for existing shareholders. He acknowledged that raising new equity funding is expensive, given that Caledonia’s share price currently does not reflect the true underlying value of the business.
“To fund this project, we are looking at maximising internally generated equity while exploring debt to avoid unnecessary dilution. Our disciplined approach is to build value, not just raise capital for the sake of it,” Learmonth emphasised.
The CEO noted that while Bilboes is a long-term flagship project, near-term revenue opportunities elsewhere in Caledonia’s portfolio are being actively considered to further strengthen the company’s equity base. This, he said, could lead to an even greater internal contribution toward the Bilboes’ development.
Adding to the upside is the potential expansion of the project through the incorporation of the neighbouring Motapa property, where Caledonia has just started exploration. The inclusion of Motapa could make the Bilboes footprint even larger, extending its life and boosting gold output beyond initial expectations.
“Bilboes is already a big project. But the integration of Motapa could scale it further, and that’s where the real transformational value lies—for us and for Zimbabwe,” Learmonth added.
Despite Zimbabwe’s historical challenges with perception in global capital markets, Caledonia believes that Bilboes could be the catalyst that reshapes narratives, especially if executed with transparency, discipline, and adherence to international standards.
“It is beholden on all participants in the Zimbabwe mining sector to actively work toward changing these misperceptions. If we get this right, it could open the door to more capital being available at lower costs to fund not just Bilboes, but other mining projects across the country,” said Learmonth.
The Preliminary Economic Assessment (PEA) for Bilboes, released last year, pegged the total capital requirement at over US$400 million. While this presents a financing challenge, Caledonia is confident in its methodical approach, prioritising value optimisation, capex efficiency, and smart financing.
As the company continues to engage both local and international partners, the success of Bilboes could usher in a new era for Zimbabwe’s gold sector—a future built on scale, confidence, and investment-grade performance.
