Mining ZimbabweLatest Mining News, Policy and Industry Updates

Kavango Resources has launched legal action after the planned acquisition of the Nara Gold Project in Zimbabwe collapsed when the seller failed to complete the transfer of the asset within the agreed timeframe, Mining Zimbabwe reports.

By Ryan Chigoche

The Victoria Falls Stock Exchange (VFEX)-listed mining and exploration company said it is pursuing all available legal avenues against Simon John Bowman and his operating company, Romjack Mining Limited, who were responsible for selling the project under a Call Option Agreement covering 45 mining claims.

Kavango had exercised its option to acquire 100 per cent of the Nara Gold Project in June 2025, following an agreement initially signed in June 2023. The parties had set 27 February 2026 as the deadline to complete the transaction after an extension to the original terms.

However, the company said the deadline passed without the seller fulfilling the obligations required to transfer ownership of the claims, effectively bringing the transaction to a halt.

In response, Kavango Resources said it will seek to enforce the agreement and pursue compensation, stressing that the move is aimed at safeguarding shareholder interests. The company also indicated that further updates will be issued as the legal process unfolds.

The collapse of the Nara deal comes amid one of the strongest gold markets in recent history. Spot gold prices breached $5,000 per ounce in early 2026, reaching highs above US$5,400, reflecting heightened safe-haven demand driven by geopolitical tensions and economic uncertainty.

The dispute introduces uncertainty around the Nara project, but Kavango’s broader strategy in Zimbabwe remains centred on its Hillside Gold Project, where exploration work has been advancing across its portfolio in the country’s gold-rich greenstone belts.

Over the past two years, the company has reported several gold discoveries within the Hillside project area and is working toward establishing early-stage production capacity of about 250 tonnes per day as part of a phased development plan.

To support this work, Kavango Resources raised approximately £2.2 million in September 2025 through a direct subscription and placing, with the funds earmarked for development activities including resource drilling and the establishment of a carbon-in-leach processing plant.

The developments come at a time when Zimbabwe’s gold sector is attracting growing interest from international investors as several large projects move through development stages.

Among the major projects in the pipeline is the Bilboes Gold Project being advanced by Caledonia Mining Corporation, which is expected to become one of the country’s largest gold mines once developed.

Meanwhile, Ariana Resources holds the Dokwe Gold Project in the Tsholotsho District, widely regarded as one of Zimbabwe’s largest undeveloped gold deposits.

Another notable development is the planned restart of the Mazowe and Redwing gold mines by Namib Minerals, which are currently on care and maintenance but hold significant gold resources.

While such projects underline the scale of investment interest in Zimbabwe’s gold industry, the dispute surrounding the Nara acquisition highlights the commercial risks that can arise in mining transactions, particularly where agreements depend on private counterparties completing asset transfers.

For Kavango, resolving the dispute over the Nara Gold Project will be an important step, even as the company continues to advance its broader gold exploration and development activities in Zimbabwe.

On the outlook, analysts and investor surveys suggest the metal could remain elevated through 2026, with some forecasts indicating that gold may again test or exceed the $5,000 level later in the year as risk-off conditions persist and central banks maintain strong demand for bullion.

The Betterbrands Gold Refinery in Bulawayo is poised for its official opening, with all systems ready for the facility’s inauguration, *Mining Zimbabwe can report.

By Rudairo Mapuranga

The event will mark a significant strategic expansion for Betterbrands, transitioning it from Zimbabwe’s foremost gold buyer to a fully integrated refiner.

Betterbrands Gold CEO, Mr. Fradreck Kunaka, confirmed that the refinery is complete and ready to begin operations. The formal launch is scheduled to take place imminently, celebrating the culmination of the major project.

“We are pleased to confirm that everything is now in place. The refinery is complete, and we are poised to commence operations. The official inauguration ceremony will be held very soon, and we will communicate the date in due course,” Kunaka said.

The opening of the refinery recognises Betterbrands’ pre-eminent role in Zimbabwe’s gold sector. Before its foray into refining, the company, founded by businessman and Mabvuku-Tafara MP Pedzisai “Scott” Sakupwanya, established itself as the largest individual supplier of gold to the state-owned Fidelity Gold Refinery (FGR). Mining sector reports highlight the scale of this contribution, noting that in a recent year, a staggering 18.8 tonnes were sourced through Betterbrands.

Analysts note that Betterbrands has been instrumental in channeling artisanal and small-scale mining output into the formal economy. Over several years, the company has delivered nearly 60 tonnes of gold to FGR, translating to over US$6 billion in foreign currency earnings for the nation. Its operations are a key factor behind FGR’s record performance, which saw the national target of 40 tonnes surpassed in 2025, with projections set for 50 tonnes in 2026.

The launch of the Betterbrands Refinery aligns with national goals to increase local beneficiation of mineral resources. It places Zimbabwe alongside other African nations such as Angola, Ghana, and Burkina Faso, which are also advancing domestic gold refining projects to capture more value from their resources.

The refinery’s opening in Bulawayo represents a major capital investment in the city and is expected to create a new hub for gold processing. It comes at a time when the government’s incentive scheme, offering a 5% premium on gold deliveries to FGR, has successfully boosted formal deliveries. This policy, combined with rising global gold prices, has fuelled a surge in national output.

The official opening will not only celebrate a new industrial facility but also symbolise the evolution of a homegrown company that has significantly impacted the national economy. As Betterbrands moves from trading to refining, it reinforces Zimbabwe’s ambition to become a more influential player in the global gold value chain. The industry will now watch how this new refining capacity integrates with the existing ecosystem and contributes to the next phase of Zimbabwe’s gold story.

Zimbabwe’s largest mine workers’ union has thrown its weight behind the government’s immediate suspension of raw mineral and lithium concentrate exports, describing the move as aligned with continental best practice while urging authorities to ensure that workers are not left behind in the transition to local processing, Mining Zimbabwe can report.

By Rudairo Mapuranga

The Zimbabwe Diamond and Allied Minerals Workers Union (ZDAMWU) issued a statement on 28 February 2026, welcoming the ban as a step towards in-country value addition and beneficiation consistent with the Africa Mining Vision (AMV).

“This policy direction is consistent with broader African efforts to move away from exporting unprocessed minerals and to anchor mineral wealth in industrialisation, decent jobs, and sustainable community development, and Zimbabwe is moving in tandem with continental best practice,” said ZDAMWU General Secretary Mr Justice Chinhema.

The union explicitly linked Zimbabwe’s policy shift to the Africa Mining Vision, a continental framework adopted by African Heads of State in 2009 aimed at transparent, equitable, and optimal exploitation of mineral resources.

“As ZDAMWU, we support this move by government because it reflects the AMV’s call for a mining sector that is safe, healthy, inclusive, and socially responsible,” Mr Chinhema said.

However, the union also underlined that all policy and investment decisions in the critical minerals value chain must be guided by robust Human Rights Due Diligence (HRDD) standards, in line with the UN Guiding Principles on Business and Human Rights.

“Companies and state entities must identify, prevent, mitigate, and account for actual and potential adverse impacts on workers and communities at every stage of extraction, processing, transport, and trade,” the statement read.

Workers’ Concerns: Jobs Must Not Be Sacrificed

While endorsing the government’s objective of maximising national benefit from minerals, ZDAMWU expressed concern about the potential impact of sudden policy shifts on mine workers’ jobs, incomes, and working conditions.

“We are concerned about the potential impact of sudden policy shifts on mine workers’ jobs, incomes, and working conditions,” Mr Chinhema said.

The union respectfully called on the Honourable Minister of Mines and Mining Development to adopt a more inclusive and consultative approach going forward, in full alignment with the AMV’s emphasis on participatory, rights-based mineral governance involving workers, communities, and other non-state actors.

“All new beneficiation and value addition projects in the critical minerals sector must incorporate enforceable HRDD obligations, including respect for freedom of association, safe and healthy working conditions, non-discrimination, gender equality, and effective access to remedy,” the union stated.

ZDAMWU outlined specific practical measures it expects from the transition:

• Structured social dialogue with trade unions on implementation modalities
• Clear timelines and transition measures
• Binding safeguards to prevent job losses or unpaid lay-offs
• Guarantees that any new processing plants are unionised, safe, and fully compliant with labour, health and safety, and environmental laws

“The noble goal of increasing local value addition must not be achieved at the expense of mine workers and their families,” Mr Chinhema emphasised.

Instead, the union argued, the transition should translate into more secure and decent jobs, better wages, skills upgrading, improved living standards, environmental quality, and social services for people residing in mining communities — as envisaged in the Africa Mining Vision.

ZDAMWU positioned itself not as an obstacle to the government’s agenda but as a constructive partner in its implementation.

“ZDAMWU stands ready to work with the Ministry of Mines and Mining Development, employers (Chamber of Mines), and other stakeholders to ensure that Zimbabwe’s new export framework for critical minerals delivers both increased national value and genuine respect for human rights and decent work, in the true spirit of the Africa Mining Vision,” Mr Chinhema concluded.

The union’s statement adds a crucial worker perspective to the growing chorus of support for the government’s export suspension, which has been endorsed by the Zimbabwe Miners Federation, civil society organisations like ZELO, and now organised labour.

The ban, announced by Mines and Mining Development Minister Hon. Dr. Polite Kambamura and subsequently cemented by Cabinet, responds to revelations of massive illicit stockpiling of Zimbabwean lithium in a neighbouring country. Government spokesperson Mr Nick Mangwana characterised the behaviour as “plunder of our national heritage” and a direct undermining of sovereignty.

With processing plants already under construction by investors, including Zhejiang Huayou Cobalt and Sinomine, the transition to local beneficiation is underway. ZDAMWU’s message is clear: as the industry transforms, workers must transform with it — not be left behind.

The coming months will test whether the inclusive, consultative approach the union advocates can be realised in practice, and whether the promise of the Africa Mining Vision can be translated into tangible benefits for the women and men who dig Zimbabwe’s wealth from the ground.