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Freda Rebecca GM Calls for Stronger LSM-ASM Safety Framework

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Zimbabwe needs a more structured approach to safety and regulatory compliance where large-scale mining (LSM) operations interact with artisanal and small-scale miners (ASM), Prof. Alfred Chinyere, General Manager at Mutapa Gold Resources’ Bindura operation, popularly known as Freda Rebecca Gold Mine, has said.

By Rudairo Mapuranga

Chinyere made the remarks during the second session of the Association of Mine Managers Zimbabwe (AMMZ) and Zimbabwe School of Mines (ZSM) Mine Managers’ Bench webinar series held on Wednesday, 30 September 2026.

The session, which focused on “Regulatory Compliance & Statutory Responsibility of Mine Managers,” brought together mine managers, government officials, SHEQ professionals and mining engineers.

Chinyere’s presentation, titled “Managing Safety Compliance in LSM-ASM Collaborations,” focused on the regulatory and operational challenges arising where formal large-scale mining operations interact with ASM activity.

He argued that conventional mine safety systems are generally designed around controlled operations within established mining areas, while interactions with ASM can introduce additional and changing risks requiring a broader management approach.

Chinyere called for safety requirements to be incorporated into operational planning, risk management and inspection systems, with clear accountability extending through mining management structures.

He said management systems should provide defined responsibilities and repeatable controls rather than relying primarily on individual initiative.

A major part of his presentation centred on moving away from approaches that treat LSM and ASM as completely separate activities and towards structured forms of cooperation.

Under the approach outlined by Chinyere, large-scale mining companies could contribute capital, technical expertise, equipment and processing infrastructure, while ASM operators continue participating in ore extraction within a regulated framework.

He stressed that such arrangements should not seek to turn ASM operators into miniature large-scale mining companies, but should instead address gaps in technical capacity, safety and processing while maintaining their commercial participation.

Chinyere cited the Magaya Model as one example, involving centralised processing supported by a large-scale mining partner, with ASM operators extracting ore while benefiting from equipment, training and access to controlled processing facilities.

He also discussed an approach associated with Mutapa Gold Resources, which he presented as a registration and structuring model intended to bring existing ASM activity into a more formal framework while creating a controlled platform for participation.

Chinyere also called for greater consideration of the different capacities of mining operators when applying regulatory requirements.

He proposed a move towards what he described as “proportionate compliance”, while emphasising that this should not mean lowering safety or environmental standards.

The approach would instead provide ASM operators with a progressive pathway towards meeting regulatory, safety and environmental requirements.

Chinyere further identified capacity building as a key component of formalisation, pointing to training in areas including mine planning, financial management and legal compliance.

On regulation, he called for a review of Statutory Instrument 109 of 1990, arguing during the presentation that some existing safety requirements can be difficult for smaller operators to implement because of differences in technical and financial capacity.

He stressed that regulatory reform should strengthen, rather than weaken, safety and environmental protection.

Chinyere also proposed the establishment of an LSM-ASM Safety and Environmental Collaboration Platform, potentially coordinated through the Chamber of Mines of Zimbabwe, which could provide a mechanism for developing minimum safety benchmarks and sharing information on incidents and risks.

The discussion formed part of the broader Mine Managers’ Bench programme, which provides a platform for mining professionals to examine regulatory compliance, operational management and statutory responsibilities within Zimbabwe’s mining industry.

Other contributors to the session included Eng. Michael J. Munodawafa from the Ministry of Mines and Mining Development, Gift T. Mapakame, President of AMMZ, Dr Posani Maveza of Impact Plus and Eng. Elton Gwatidzo of AMMZ.

Mining’s Footprint Deepens in Munhumutapa Cup Quarter-Finals

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The Zimbabwe mining industry has established a significant presence in the inaugural ZIFA Munhumutapa Challenge Cup, with four mining-linked clubs remaining as the competition enters the quarter-final stage, Mining Zimbabwe can report.

By Rudairo Mapuranga

Blanket Mine FC, FC Platinum, Scottland FC and Hardrock FC are all through to the last eight, giving the mining sector a prominent footprint in a tournament that has already produced several major upsets.

The standout mining encounter will be played on Sunday when Blanket Mine FC host FC Platinum at Phelandaba Stadium in Gwanda, bringing together football clubs associated with Zimbabwe’s gold and platinum mining sectors.

Blanket Mine FC, linked to Caledonia Mining Corporation’s gold operation in Matabeleland South, have emerged as the surprise package of the competition.

The Central Region Soccer League side eliminated Premier Soccer League outfit Triangle United on penalties after a 2-2 draw at Gibbo Stadium, becoming the only lower-league club remaining in the tournament.

Their cup run has come alongside a strong league campaign, with Blanket Mine FC currently sitting at the top of the Central Region standings, five points clear of second-placed Kwekwe United.

FC Platinum, meanwhile, carry Premier Soccer League pedigree into the encounter.

The Zvishavane-based side secured their quarter-final place with a 1-0 victory over Blackrock, setting up a contest between a gold-mining-linked club from Matabeleland South and a football institution rooted in one of Zimbabwe’s major platinum-mining centres.

The mining presence in the quarter-finals, however, extends beyond the Sunday afternoon clash in Gwanda.

Scottland FC, owned by gold-sector businessman Pedzai “Scott” Sakupwanya, face Bulawayo Chiefs at Rufaro Stadium after a commanding 6-0 victory over MWOS Under-19 in the previous round. Sakupwanya is a prominent player in Zimbabwe’s gold industry and has been profiled by Mining Zimbabwe in connection with his gold-sector business activities.

Hardrock FC provide another direct link between football and gold mining.

The Kwekwe-based club is backed by Gold Metals Investment, a gold mining company owned by businessman Shepherd Chahwanda. The club also plays at Chahwanda Stadium, a privately developed facility associated with Chahwanda.

Hardrock reached the quarter-finals after defeating Jordan 4-1 and will now face Herentals FC at Chahwanda Stadium.

The four clubs therefore represent different expressions of mining’s growing footprint in Zimbabwean football — from established mining operations such as Blanket Mine and the platinum industry’s association with FC Platinum to mining entrepreneurs backing clubs such as Scottland and Hardrock.

The other quarter-final will see FC Hunters host CAPS United at Rufaro Stadium on Saturday, with CAPS United advancing after a 2-0 victory over Manica Diamonds.

The competition has already seen some of Zimbabwe’s traditional football heavyweights fall by the wayside. Highlanders were eliminated by Blackrock on penalties, while Dynamos were knocked out by Hwange.

The semi-final draw has placed the winner of Blanket Mine FC and FC Platinum against either FC Hunters or CAPS United.

The winner between Hardrock FC and Herentals FC will face the victor of Scottland FC and Bulawayo Chiefs in the other semi-final.

The semi-finals are scheduled for December 5 and 6, with the final set for December 22.

For the mining sector, the Munhumutapa Challenge Cup has consequently become more than a football competition. With four mining-linked clubs still standing, the tournament is providing another platform for Zimbabwe’s gold and platinum interests to leave their mark on the national sporting landscape.

The immediate spotlight, however, falls on Phelandaba Stadium on Sunday, where Blanket Mine FC and FC Platinum will battle for a place in the semi-finals — giving Zimbabwe’s mining communities a football rivalry of their own.

Gold buying prices in Zimbabwe per gram/ ounce, 2 October 2026

Gold buying prices in Zimbabwe per gram/ ounce, 2 October 2026, from the official gold buyer and exporter, Fidelity Gold Refinery (FGR).

1 oz = 31.1035 g

Gold GradeUS$/gUS$/oz
SG 90% and above$125.57/g$3,905.66
SG 85% and above but below 90%$124.24/g$3,864.30
SG 80% and above but below 85%$122.91/g$3,822.93
SGF/SG 75% and above but below 80%$121.58/g$3,781.56
Sample 5g & above but below 10g$119.59/g$3,719.66
Fire Assay Cash$126.23/g$3,926.19

 

Note: The Fire Assay cash price applies to gold above 100g, with no sample deduction.

A sample of not more than 10g is deducted from the Fire Assay Transfer price.

#GoldPrices #GoldBuying #GoldMarket #GoldTrading #GoldRate #GoldPriceToday #GoldNews #PreciousMetals #GoldIndustry #GoldEconomy #FidelityGoldRefinery

Mnangagwa Tells Ruling Party: Raw Materials Must Be Processed Locally

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President Emmerson Mnangagwa has told his party’s Central Committee that Zimbabwe’s raw materials will be processed locally, reaffirming the ruling party-led Government’s push for value addition and beneficiation, Mining Zimbabwe can report.

By Rudairo Mapuranga

Addressing the 132nd Ordinary Session of the ZANU PF Central Committee in Harare on Thursday, President Mnangagwa said the Government was creating a firmer foundation for sustainable development, with local processing expected to support employment creation and retain more value within the country.

“Raw materials will be processed locally,” President Mnangagwa said, as he outlined the Government’s approach to strengthening the economy through value addition and beneficiation.

He said the improving macro-economic environment was continuing to gain momentum, while investment and exploration in the mining sector were increasing.

According to the President, the drive towards value addition and beneficiation is intended to create employment, retain value generated from Zimbabwe’s natural resources and support broader people-centred development policies.

Mining remains central to the Government’s economic strategy, with increased exploration and investment expected to support the expansion of the sector while providing a stronger base for local processing and downstream industries.

President Mnangagwa said the economy continued to demonstrate resilience and growth, linking the country’s development trajectory to the pursuit of economic sovereignty.

His remarks reinforce the Government’s longstanding emphasis on moving Zimbabwe beyond the export of largely unprocessed minerals and towards greater domestic beneficiation, with the mining sector expected to play a key role in that transition.

Zimbabwe Mining Death Toll Hits 150 as Safety Gains Falter

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The Zimbabwe mining sector has recorded approximately 150 fatalities from about 140 mining accidents in the nine months to September 30, 2026, raising fresh concerns over the sustainability of safety gains recorded last year, Mining Zimbabwe can report.

By Rudairo Mapuranga

The latest figures from the Ministry of Mines and Mining Development show that the industry is again facing significant safety pressures, particularly in artisanal and small-scale mining, where ground instability, unsafe shafts, explosives and inadequate safety systems continue to claim lives.

The latest toll comes after a marked improvement in mining safety in 2025, when fatalities across the sector fell to 132 from 186 in 2024 and 237 in 2023. The Chamber of Mines recorded 109 fatal accidents in 2025, down from 143 the previous year.

The 2026 figures suggest that the progress made last year remains vulnerable, particularly among smaller and informal mining operations.

ASM fatalities rise in first quarter

The warning signs were already evident in the first quarter.

Between January and March 2026, 64 artisanal and small-scale miners died in mining-related accidents, representing a six percent increase compared with the corresponding period in 2025, Mines and Mining Development Minister Dr Polite Kambamura said in June.

Ground collapses were responsible for 54 percent of the deaths, claiming 35 lives. Improper use of explosives and gas-related incidents accounted for 25 percent, while falls into abandoned and unprotected shafts contributed 15 percent. Electrocution and equipment-related incidents accounted for the remaining six percent.

Kambamura described the deaths as largely preventable and challenged mine inspectors to become more proactive in identifying and stopping unsafe mining practices.

“Behind each of those numbers is a family broken, a community grieving and a question we are duty-bound to answer: could it have been prevented?” he said.

The Minister also warned inspectors against treating mining safety as a paperwork exercise, urging them to use statutory powers where operators were working without title, undermining public infrastructure or engaging in dangerous mining practices.

2025 safety gains

The latest deterioration is particularly significant because 2025 represented a substantial improvement in Zimbabwe’s mining safety record.

According to the Chamber of Mines’ 2025 State of the Mining Industry report, the sector recorded 109 fatal accidents resulting in 132 deaths, compared with 143 fatal accidents and 186 fatalities in 2024. The Chamber attributed much of the reduction in fatal accidents to measures implemented by the Ministry of Mines to improve safety awareness in the artisanal and small-scale mining sector.

Data covering the first 10 months of 2025 also showed the improvement taking hold during the year. Fatal incidents fell from 118 in the corresponding period of 2024 to 89 in 2025, while deaths declined from 147 to 112.

However, the improvement did not eliminate the underlying hazards.

Falls of ground remained the leading cause of fatal accidents in the Chamber’s 2025 data, with 44 such accidents recorded. Shaft accidents accounted for another 22, while 11 involved people falling down excavations. Machinery-related accidents accounted for eight cases.

The persistence of these hazards is particularly significant in small-scale mining, where access to technical expertise, ground-control systems, dewatering equipment and other safety infrastructure can be limited.

Small-scale mining remains the biggest challenge

The safety challenge is concentrated heavily at the smaller end of the mining sector.

During the first 10 months of 2025, small-scale and illegal mining operations accounted for 88 percent of recorded fatal incidents and deaths, according to Chamber of Mines data. Large-scale mines recorded 11 fatal accidents resulting in 13 deaths during the same period.

The figures point to a persistent enforcement challenge for authorities, particularly where mining takes place outside the formal regulatory system.

That challenge has also been acknowledged by the government. The Ministry has been expanding safety awareness programmes while seeking to strengthen the ability of inspectors to identify hazards and respond to accidents.

By June, the Ministry said it had trained more than 500 artisanal miners in basic safety and environmental management through its extension programme. It was also moving towards digital inspection platforms, drone-assisted surveillance of high walls and tailings facilities, and advanced geotechnical monitoring.

The Ministry has additionally announced a 24-hour mining accident response call centre as part of efforts to improve the reporting and response to mine accidents and unsafe conditions.

Technology and enforcement push

The government’s proposed response increasingly centres on strengthening the inspectorate through technology and enforcement.

Kambamura has argued that conventional inspection methods are no longer sufficient for a mining industry that is becoming more technically complex.

The Ministry has said it is rolling out digital inspection systems to replace paper-based processes, while drone-assisted monitoring and geotechnical technologies are expected to give inspectors better visibility of hazards.

The government has also proposed an emergency US$2 million resource envelope for a National Safety Enforcement Blitz and has been engaging Treasury over increased resources for the mining inspectorate.

The effectiveness of these measures, however, will depend on their implementation and the ability of inspectors to reach and monitor high-risk operations across the country.

The human cost

The statistics have renewed calls for a stronger focus on the human cost of mining accidents.

Speaking at the Mining Safety and Rehabilitation Symposium in Bulawayo in September, Zimbabwe School of Mines principal engineer Edwin Gwaze said the miners killed in accidents should not be reduced to statistics, describing them as sons, daughters, fathers, mothers and breadwinners.

The School of Mines has called for zero fatalities in artisanal and small-scale mining, arguing that improved training and stronger occupational safety and health practices are necessary to reduce accidents.

That call comes as the sector attempts to reconcile its growing economic importance with the continued loss of workers at mining sites.

A fragile safety record

Zimbabwe’s mining industry enters the final quarter of 2026 with a safety record that is difficult to assess as a simple reversal or continuation of previous trends.

The reduction from 237 deaths in 2023 to 186 in 2024 and 132 in 2025 represented significant progress. But the approximately 150 fatalities recorded by September 30, 2026, together with the 64 ASM deaths in the first quarter alone, demonstrate that the underlying risks remain deeply entrenched.

For the Ministry, the immediate challenge is to translate safety campaigns, inspection reforms, technology and enforcement into measurable reductions in deaths, particularly among artisanal and small-scale miners.

The final 2026 fatality figure will only be known once the year closes and outstanding cases are confirmed. But with mining continuing to expand across gold, lithium, chrome, coal and other mineral operations, the industry’s safety performance will remain closely tied to how effectively Zimbabwe can formalise high-risk operations, strengthen ground-control practices and ensure that inspectors have the resources to enforce existing regulations.

For a sector generating billions of dollars in mineral value, the central measure of progress ultimately remains whether workers return home alive.

Mining drives Zimbabwe’s record US$526.5m trade surplus: ZIMSTAT

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Zimbabwe’s mining sector drove a record US$526.5 million merchandise trade surplus in August, with gold, other mineral substances, and ores and concentrates accounting for the bulk of the country’s US$1.679 billion in exports, according to the Zimbabwe National Statistics Agency (ZIMSTAT), Mining Zimbabwe can report.

By Ryan Chigoche

Exports rose 14.2% month on month, adding about US$208 million to foreign-currency earnings, while imports edged up just 0.2% to US$1.152 billion. The resulting surplus was 64.5% higher than July’s US$320 million and was the first monthly trade surplus to exceed US$500 million.

The scale of the increase was largely explained by mineral exports. Semi-manufactured gold accounted for 44% of August exports, while other mineral substances contributed 19.5% and ores and concentrates 12%, reinforcing mining’s position as Zimbabwe’s dominant source of foreign currency.

That export strength comes at an important time for the economy, with the Reserve Bank of Zimbabwe seeking to build reserves, support the ZiG and improve foreign-currency liquidity in the formal market. Reserves stood at US$1.7 billion at the end of July, equivalent to 1.7 months of import cover.

The stronger mineral export receipts therefore have implications beyond mining companies’ revenues. Foreign currency generated from mineral sales feeds into the formal financial system through export surrender requirements, royalties and other channels, increasing the pool of hard currency available to support imports, reserves and market liquidity.

That link has become increasingly important for the ZiG. The RBZ attributed exchange-rate stability during the first seven months of 2026 to stronger foreign-currency inflows, reserve accumulation and market intervention. However, pressure on foreign currency has not disappeared, with Equity Axis estimating the parallel-market premium at 20.1% on September 24.

The August trade surplus adds to the supply side of that equation. Between January 2 and August 4, the RBZ purchased ZiG32.8 billion in export surrender proceeds, while foreign-currency sales withdrew ZiG26.9 billion from the market.

For mining companies, the relationship works in both directions. While mineral exports generate much-needed foreign currency, mining operations also require substantial imported inputs to sustain production, including fuel, machinery, equipment and electrical components.

August’s import figures illustrate that dependence. Mineral fuels accounted for 22.2% of imports, machinery and mechanical appliances 15.5%, vehicles 6.8% and electrical machinery 4.9%.

A stronger external position can therefore benefit the mining sector by improving access to foreign currency needed to finance production and capital expenditure, while sustained mineral exports can simultaneously help reduce pressure on the country’s reserves.

The broader monetary impact is also visible in inflation. ZiG annual inflation fell to 2.9% in August from 3.2% in July, while monthly ZiG inflation was 0.1%. US dollar monthly inflation was zero, with annual US dollar inflation at 3.1%.

The trade surplus, however, should not be viewed as the sole driver of that outcome. Monetary conditions, reserve-money growth, fiscal policy, fuel prices and exchange-rate management also influence domestic price formation. The stronger external position instead provides an additional source of foreign-currency support for the wider stabilisation framework.

Zimbabwe’s mining-led external position was already strengthening before the August record. The IMF reported that merchandise exports rose 31.3% to US$10.2 billion in 2025, driven by minerals, while the country recorded a US$2.13 billion current-account surplus.

August nevertheless marked a significant acceleration in monthly export earnings. The US$526.5 million surplus was equivalent to almost one-third of the US$1.7 billion reserve stock recorded at the end of July, although the two figures represent different measures and should not be treated as directly interchangeable.

The bigger question for the mining sector and the wider economy is whether the August performance can be sustained. Mineral prices, production volumes and shipment timing can produce significant month-to-month swings, meaning the durability of the surplus will matter more than the record itself.

That exposure is evident in the structure of exports. Industrial supplies accounted for 96.3% of goods exported during August, leaving Zimbabwe’s external position heavily dependent on commodity prices, mineral production and export volumes.

For now, the figures underline mining’s central role in Zimbabwe’s external accounts. Gold and other mineral exports are not only generating revenue for producers and the government but are also supplying the foreign currency needed to support imports, reserves and the formal exchange market.

The policy challenge will be turning that mining-led export strength into a sustained improvement in reserves and formal-market liquidity rather than a temporary monthly spike.

If strong mineral export earnings continue, the benefits could extend beyond the mining sector, strengthening Zimbabwe’s external position while easing some of the foreign-currency constraints that have weighed on the wider economy.

MVSZ warns of ‘underlying exposure problem’ behind Zimbabwe’s silicosis surge

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The Mine Ventilation Society of Zimbabwe (MVSZ) has warned that the sharp increase in silicosis cases recorded at Kwekwe General Hospital is pointing to an “underlying exposure problem” that has been building up over several years, particularly among artisanal and small-scale miners, Mining Zimbabwe can report.

By Ryan Chigoche

The warning comes after a recent report by Kwekwe General Hospital showed that the facility had admitted 161 patients with silicosis between January and August this year, compared with just six admissions recorded during the whole of 2021.

The hospital has described the disease as a growing public health concern in the Midlands, particularly among artisanal and small-scale miners exposed to silica dust during mining activities. It said between 40 and 50 patients die from silicosis each year, while some sufferers require oxygen for prolonged periods because the disease is incurable.

But while the latest figures highlight the scale of the problem, they do not necessarily mean that 161 people developed silicosis this year. The disease generally results from cumulative exposure to respirable crystalline silica over a prolonged period.

In an interview with Mining Zimbabwe, MVSZ President Dr Tonderai Chikande said the figures should therefore be viewed as a warning of an underlying exposure problem that has been building up over several years, although improved screening and case detection may also have contributed to the increase.

“As the Mine Ventilation Society of Zimbabwe, we are deeply concerned by the figures coming out of Kwekwe General Hospital – 161 silicosis cases between January and August 2026, compared with six recorded in the whole of 2021. However, we should be careful not to interpret those numbers as meaning that all 161 cases developed silicosis in 2026. Silicosis is generally the result of cumulative exposure to respirable crystalline silica over time, so the figures are also an indication of an underlying exposure problem that has been building up over several years. The recent increase may also partly reflect improved case detection and screening,” Chikande said.

Chikande said the underlying exposure problem was being driven by several interconnected factors, beginning with the way mining is carried out in the ASM sector.

Artisanal and small-scale miners frequently undertake drilling, blasting, mucking, crushing and milling under conditions where dust-generating processes are not adequately controlled. Research in Zimbabwe has identified silica dust as one of the major hazards in ASM and documented dry blasting, lashing, dumps and crushing as sources of silica exposure, while engineering controls such as water sprays have been found to be lacking at some sites.

Those dust-generating activities become an even greater concern underground, where inadequate ventilation can allow contaminated air to remain in working areas.

Chikande said some smaller operations develop incrementally without an adequately engineered ventilation circuit, making it difficult to deliver sufficient clean air to working faces, dilute and remove contaminated air and prevent polluted air from being recirculated back to workers.

The risk is particularly acute after blasting and during mechanised drilling and crushing, when significant amounts of dust can be generated in confined working environments.

Beyond the physical mine environment, Chikande said Zimbabwe’s ASM sector also faces gaps in occupational-hygiene monitoring, leaving some operators without reliable information on the levels of silica to which workers are being exposed.

Research on Zimbabwean ASMs has found that miners generally lack basic occupational-health and occupational-hygiene services, including routine silica-dust assessments.

That monitoring gap is compounded by limited awareness among some miners about the long-term consequences of silica exposure.

Chikande said a Zimbabwean study found that only 59 per cent of surveyed ASMs knew that silica dust causes permanent and incurable lung disease.

He said training therefore needed to go beyond simply telling workers to wear personal protective equipment, with miners and supervisors needing to understand where dust is generated, how it travels underground, how ventilation controls it and how work practices can minimise exposure.

The challenge is further complicated by the economic realities of the ASM sector, where many operations are undercapitalised, workers can be highly mobile and access to engineering, occupational-health and safety expertise can be limited.

Against that background, Chikande said the problem should not be reduced to individual miners failing to protect themselves or treated as an issue that can be solved through protective equipment alone.

“So, from the MVSZ perspective, this is not a problem that can be solved by PPE alone, nor should it be framed simply as a failure by individual miners. It is fundamentally an engineering, occupational-hygiene, training, regulatory and public-health challenge that requires a coordinated response,” he said.

The warning comes as silicosis continues to take a heavy toll on mining communities, with Kwekwe General Hospital reporting rising admissions, prolonged hospitalisation and dozens of deaths annually.

The focus on mine ventilation and occupational exposure is also set to feature prominently at the MVSZ Annual Conference and AGM, which will be held from October 29 to 30, 2026, at the Holiday Inn in Bulawayo.

The conference will run under the theme “Innovation in Mine Ventilation for Sustainable Mining Growth.”

Gold buying prices in Zimbabwe per gram/ ounce, 1 October 2026

Gold buying prices in Zimbabwe per gram/ ounce, 1 October 2026, from the official gold buyer and exporter, Fidelity Gold Refinery (FGR).

1 oz = 31.1035 g

Gold CategoryUS$/gramUS$/oz
SG 90% and above$125.73$3,910.64
SG 85% and above but below 90%$124.40$3,869.27
SG 80% and above but below 85%$123.07$3,827.90
SGF/SG 75% and above but below 80%$121.74$3,786.54
Sample 5g & above but below 10g$119.75$3,724.64
Fire Assay Cash$126.40$3,931.48

 

Note: The Fire Assay cash price applies to gold above 100g, with no sample deduction.

A sample of not more than 10g is deducted for the Fire Assay Transfer price.

#GoldPrices #GoldBuying #GoldMarket #GoldTrading #GoldRate #GoldPriceToday #GoldNews #PreciousMetals #GoldIndustry #GoldEconomy #FidelityGoldRefinery

From Consolidation to Value Creation: Defold Mine Charts New Growth Path

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Defold Mine (Private) Limited is positioning itself for a new phase of growth and value creation as it moves beyond a three-year period of governance consolidation, financial pressure and significant institutional change, Mining Zimbabwe can report.

By Rudairo Mapuranga

Presenting the Group’s performance and outlook for the 2023, 2024 and 2025 financial years at the combined Annual General Meeting, Acting General Manager Wilfred Tanyanyiwa outlined a strategy centred on strengthening Defold’s existing investments, improving cash generation and building a more focused mining portfolio.

The forward-looking strategy comes after a challenging period for the Group, which saw it navigate Zimbabwe’s currency transition, exchange-rate volatility, weaker commodity markets and significant pressure on its financial position.

Tanyanyiwa said management was now focused on restoring sustainable profitability while supporting the shareholder’s Mining Cluster restructuring strategy.

A key part of the approach is to extract greater value from investments already held by the Group, rather than relying solely on new projects.

Management plans to improve cash generation from existing investments, strengthen oversight of subsidiaries and transition towards commodity-specific mining verticals.

The strategy points to a more focused operating model for Defold, with greater attention being placed on the performance of individual businesses and their contribution to the wider Group.

The Group’s institutional transformation has also created a new platform for this approach. Defold moved from the Ministry of Mines and Mining Development into the Mutapa Investment Fund (MIF) portfolio during the period under review, bringing a stronger emphasis on performance, accountability and value creation.

Board Chairman Onesimo Mazai Moyo described the period as a movement from governance consolidation towards strategic transformation.

The transition has been accompanied by the completion of historical audits and efforts to strengthen the Group’s governance and oversight structures.

Defold has also continued to develop its mining and processing interests. During the review period, the Group reported the commissioning of Phase I of the Kamativi Mining Company lithium processing plant, adding a value-addition dimension to its portfolio.

The developments are taking place against the backdrop of Zimbabwe’s broader push to increase mineral beneficiation and derive greater value from the country’s natural resources.

Defold’s three-year financial performance, however, demonstrates the scale of the task facing management.

The Group returned a profit before tax of ZWG$541.9 million in 2024 before moving into a ZWG$258.7 million loss before tax in 2025, with weaker diamond prices and the suspension of diamond sales between June and September 2025 contributing to the deterioration.

Despite the setback, the Group’s total assets increased by 27.8% to ZWG$2.142 billion in 2025, reflecting continued investment in its asset base.

Management is now seeking to translate that asset base into stronger and more sustainable cash generation.

The strategy also places greater emphasis on subsidiary performance, with closer oversight expected to help Defold identify underperforming assets, unlock value from existing investments and strengthen accountability across the portfolio.

The commodity-specific vertical approach could further allow the Group to develop clearer strategies around its different mineral interests, rather than managing its portfolio through a broad, undifferentiated mining structure.

For Defold, the next phase is therefore less about simply weathering the difficult operating environment and more about converting the institutional and governance changes of recent years into measurable operational and financial value.

Tanyanyiwa said the immediate priority was restoring sustainable profitability, while the longer-term objective remained the creation of a stronger and more focused mining investment platform.

The combined AGM provided shareholders with a three-year account of the challenges Defold has faced, but also set out management’s intention to use the restructuring period as a foundation for renewed growth and value creation.

Defold Mine Swings to ZWG$259m Loss Amid Diamond Sales Halt

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Defold Mine (Private) Limited’s financial performance deteriorated sharply in 2025, with the consolidated Group moving from a ZWG$541.9 million profit before tax in 2024 to a ZWG$258.7 million loss, as weaker diamond prices and a four-month suspension of diamond sales weighed heavily on earnings, Mining Zimbabwe can report.

By Rudairo Mapuranga

The figures were presented as part of Defold’s combined Annual General Meeting, which considered the company’s audited financial statements and performance for the 2023, 2024 and 2025 financial years in one sitting, providing shareholders with a three-year view of the Group’s financial and institutional transformation.

The Group’s revenue declined marginally by 2.0% to ZWG$2.223 billion in 2025, from ZWG$2.270 billion in the prior year. However, the modest revenue decline masked a much steeper deterioration in profitability, with gross profit plunging 84.3% from ZWG$627.4 million to ZWG$98.8 million.

Operating performance also weakened significantly, with an operating profit of ZWG$114.6 million recorded in 2024 turning into an operating loss of ZWG$364.3 million in 2025.

The Group attributed the difficult year to depressed diamond prices, weaker commodity markets and the suspension of diamond sales between June and September 2025 following an impasse over a marketing contract.

The deterioration extended to the bottom line, with the Group recording a loss before tax of ZWG$258.7 million, compared with a profit before tax of ZWG$541.9 million in 2024. Total comprehensive loss for the year amounted to ZWG$458.5 million.

Despite the weaker financial performance, total assets increased by 27.8% to ZWG$2.142 billion, reflecting continued investment in the Group’s asset base.

Liquidity, however, came under pressure. Cash and cash equivalents fell 26.6% to ZWG$82.1 million at the end of 2025, from ZWG$111.8 million a year earlier.

The Group ended the year with current assets of approximately ZWG$1.27 billion against current liabilities of about ZWG$1.91 billion, resulting in a working-capital deficit of roughly ZWG$644 million. Accumulated losses stood at ZWG$2.13 billion.

The 2025 independent auditor’s report contained an adverse opinion and separately highlighted a material uncertainty relating to the Group’s ability to continue as a going concern.

Management said it was responding through tighter cost controls, accelerated recovery of receivables and measures to manage creditor obligations. No dividend was declared for 2025 following the Group’s loss-making performance.

The Group nevertheless remitted ZWG$152.2 million in taxes to the Government during the year.

The 2025 results came against the backdrop of a broader institutional transition at Defold, following the movement of the company from the Ministry of Mines and Mining Development into the Mutapa Investment Fund (MIF) portfolio.

Board Chairman Onesimo Mazai Moyo described the review period as a transition from governance consolidation towards strategic transformation, with greater emphasis on performance management and value creation.

According to the Group’s reports presented at the AGM, the period also saw the completion of historical audits, the commissioning of Phase I of the Kamativi Mining Company lithium processing plant and efforts to align the Group’s mandate with the country’s National Development Strategy 1 and Vision 2030.

The three financial years also span Zimbabwe’s major currency transition. The 2023 financial year was reported in Zimbabwe dollars (ZWL), while the 2024 and 2025 financial years were reported in Zimbabwe Gold (ZWG), making direct nominal comparisons between 2023 and subsequent years inappropriate without considering the applicable accounting treatment and currency changes.

In 2023, the Group reported ZWL$976.37 billion in revenue and an operating profit of ZWL$230.84 billion, but recorded a loss after tax of ZWL$223.97 billion. Exchange losses of ZWL$1.05 trillion and finance charges of ZWL$22.16 billion were significant contributors to the loss.

The Group subsequently reported a profit before tax of ZWG$541.9 million and profit after tax of ZWG$389.45 million in 2024, before the sharp reversal recorded in 2025.

Acting General Manager Wilfred Tanyanyiwa said the immediate focus was on restoring sustainable profitability and supporting the shareholder’s Mining Cluster restructuring strategy.

Management plans to improve cash generation from existing investments, strengthen oversight of subsidiaries and move towards commodity-specific mining verticals.

The combined AGM gave shareholders a view of a three-year period in which Defold underwent significant institutional and monetary changes before facing renewed financial pressure in 2025, with the Group now focused on restoring profitability and strengthening its underlying businesses.