Govt Impressed with Zimplats Beneficiation Investment
The Government of Zimbabwe has expressed satisfaction with Zimplats‘ progress in fulfilling its value addition and beneficiation commitments. This follows the company’s significant investments in expanding smelting and refining capacity at its operations, Mining Zimbabwe can report.
By Rudairo Mapuranga
Speaking to Mining Zimbabwe on the sidelines of a recent visit to Zimplats’ Selous Metallurgical Complex, the Minister of Mines and Mining Development, Hon. Winston Chitando, commended the platinum giant for making substantial strides toward meeting the goals outlined in the US$1.8 billion Memorandum of Understanding (MoU) it signed with the government. The MoU aims to expand mining capacity and establish key value addition infrastructure, including a new smelter and refinery.
Minister Chitando highlighted that Zimplats had already invested approximately US$1.1 billion of the total US$1.8 billion commitment. These funds have been allocated to increasing the company’s mining output, expanding its smelting facilities, and developing a state-of-the-art Base Metal Refinery (BMR), which will enhance the company’s ability to process base metals such as nickel, copper, and cobalt.
“Zimplats signed a US$1.8 billion agreement with the Government of Zimbabwe to increase and replace mining capacity and undertake value addition, specifically the expansion of smelter capacity and the establishment of refining capacity. I am very pleased with the progress they’ve made. They have not only signed the agreements but have also upheld the spirit of the agreement,” he said.
The Minister noted that the smelter is now fully operational and that the refinery is in an advanced stage of construction. Once completed, the refinery will enable Zimplats to process base metals, reducing the need for external refining and aligning with Zimbabwe’s push for local beneficiation.
“All the major components necessary for the operationalization of the refinery have been procured. Some items have already been assembled. We are now at the stage of the nickel section of the refinery, which will soon be producing nickel,” Chitando added.
The expansion of Zimplats’ smelting facilities has tripled its processing capacity, allowing the company to handle a larger volume of concentrates, not only from its operations but also from other platinum mines. Mimosa, for instance, is set to begin toll processing its concentrates at Zimplats’ smelter in January 2024.
The Minister emphasized that the establishment of the refinery marks a significant milestone in achieving the government’s vision for local value addition and beneficiation, which is a cornerstone of Zimbabwe’s broader economic strategy to achieve upper-middle-income status by 2030.
“Zimplats has made significant progress in fulfilling His Excellency’s vision of value addition and beneficiation in the country. The next steps are to complete assembly and operationalize the refinery, which will be a major milestone for both the company and the nation,” he said.
Once fully operational, the Base Metal Refinery will make Zimplats one of the few platinum miners in Zimbabwe capable of carrying out full beneficiation on-site. This will contribute significantly to the country’s industrialization and economic growth.
The government’s focus on value addition and beneficiation, particularly in the platinum sector, is expected to boost Zimbabwe’s export revenues, create more local jobs, and enhance the country’s standing as a leading player in the global mining industry.
Zimplats’ US$1.8 billion investment is a testament to the company’s commitment to aligning with the government’s economic goals, ensuring that the benefits of mining extend beyond extraction to sustainable development.