Gold deliveries to Zimbabwe’s sole operating gold buyer and exporter, Fidelity Gold Refinery (FGR), experienced a substantial increase of approximately 33.5 per cent in July 2024 compared to the previous month of June, Mining Zimbabwe can report.
By Rudairo Mapuranga
According to FGR delivery statistics, the overall gold deliveries from both artisanal and small-scale miners (ASM) and large-scale miners (LSM) surged from 2,618.3845 kg in June to 3,495.0803 kg in July.
Deliveries by ASM recorded a significant increase of approximately 44.8 per cent, rising from 1,618.5140 kg in June to 2,343.3086 kg in July. This sharp rise underscores the continued dominance of small-scale miners in the nation’s gold production.
Large-scale miners also contributed positively to the monthly growth, with their deliveries increasing by 15.2 per cent, from 999.8705 kg in June to 1,151.7717 kg in July.
In July 2024, ASM accounted for approximately 67 per cent of the total gold deliveries, compared to LSM’s 33 per cent, highlighting the critical role of small-scale miners in Zimbabwe’s gold sector.
This latest increase follows a strong performance in the second quarter of 2024, where gold deliveries surged by over 28 per cent compared to the first quarter. The total gold delivered in the second quarter amounted to 7,739.4241 kg, up from 6,044.8689 kg in the first quarter.
The significant rise in deliveries during the second quarter was largely driven by ASM, which delivered 4,515.1660 kg, representing a 55.6 per cent increase from their first-quarter deliveries. Large-scale miners also contributed to the overall increase and saw a more modest rise in their deliveries, which grew by 2.6 per cent to 3,224.2581 kg.
Despite a minor decline in production from May to June 2024, the gold sector remains robust, with small-scale miners playing a pivotal role in driving growth. The performance in July marks a continuation of this trend, reinforcing the importance of ASM and LSM in sustaining Zimbabwe’s gold production and economic stability.
Gold deliveries in 2023 had declined by 15 per cent due to challenges like rising costs, power shortages, and government currency policies. However, the strong rebound in 2024 suggests a recovery driven by improved mining conditions and increased contributions from small-scale miners. As the year progresses, the sector appears poised for further growth, particularly if the challenges faced in 2023 continue to be addressed.
