Mining ZimbabweLatest Mining News, Policy and Industry Updates

In a significant move aimed at salvaging Zimbabwe’s sole integrated nickel producer, Bindura Nickel Corporation Limited (BNC) has called for the first statutory meetings of creditors and members under the Insolvency Act [Chapter 6:04], Mining Zimbabwe can report.

By Rudairo Mapuranga

As per a notice issued by the Administrator, Mr. Mutsa M.J. Remba, the meetings will be held on April 23, 2025, at Chapman Golf Club in Harare. The creditors’ meeting is scheduled for 10:00 AM, followed by the members’ meeting at 2:30 PM.

These meetings are being held in accordance with Section 194 of the Insolvency Act (read with Section 191), also known as the Reconstruction Act. They aim to provide an opportunity for creditors to prove their claims and for members to receive a comprehensive update on the proposed reconstruction plan and the prospects of the Companies’ return to solvency.

To be eligible to claim any debts owed, creditors must complete and submit an Affidavit Form for Proof of Claim, available from the Companies’ offices or via email request. Supporting documents must be filed in duplicate at the Master of the High Court.

Reconstruction Mandate and Legal Moratorium

BNC and Trojan Nickel Mine were placed under reconstruction following a Government Reconstruction Order in terms of the Reconstruction of State-Indebted Insolvent Companies Act [Cap 24:27], which transferred control of the companies to the Administrator. The order imposes a moratorium on legal proceedings and asset disposals, unless approved by the Administrator, as part of efforts to stabilize the entities and allow for financial recovery.

Trading Suspension on VFEX

Following this restructuring development, BNC shares were voluntarily suspended from trading on the Victoria Falls Stock Exchange (VFEX), effective May 6, 2024. This decision, announced by VFEX Head of Markets Robert Mubaiwa, was aligned with provisions under the Reconstruction Act and supported by the Securities and Exchange Commission of Zimbabwe.

“Although the Reconstruction Order was issued against Trojan Nickel Mine Limited, BNC as the holding company is equally affected by the order pursuant to Section 4(3)(a) of the Reconstruction Act,” Mubaiwa stated. “As a result, the Administrator applied for the voluntary suspension in trading of BNC shares.”

Despite the suspension, BNC remains obliged to meet all its shareholder and VFEX obligations under Section 9 of the VFEX Listings Requirements during the reconstruction.

Financial Woes Rooted in Operational and Market Challenges

BNC’s placement under reconstruction reflects the broader financial distress facing Zimbabwe’s mining sector. The company, majority-owned by state-controlled Kuvimba Mining House, has been severely impacted by falling global nickel prices and rising operational costs.

Nickel prices, which peaked at a record US$100,000 per tonne in 2022 due to geopolitical tensions, have since plummeted to under US$19,000 per tonne—a 25% year-on-year decline. The drop has rendered BNC’s operations economically unsustainable, with energy costs alone having surged by 40% in 2023.

Operations at the Trojan Nickel Mine ceased last year due to the breakdown of a critical ore-hoisting component, the Sub-Vertical Rock Winder (SVR) bull gear. Although a replacement has been installed, full production is yet to resume due to ongoing technical setbacks.

The upcoming creditors and members meetings will be crucial in determining the viability of the proposed reconstruction plan. Stakeholders will be closely monitoring whether this process can revive Zimbabwe’s flagship nickel operation and stabilize the company amid global market headwinds.

Toronto Stock Exchange (TSX)-listed Pambili Natural Resources Corporation has announced plans to raise C$500,000 (US$352,000) through a series of convertible loan notes issued to qualified investors. The raise is subject to approval by the TSX Venture Exchange (TSX-V).

By Ryan Chigoche

Kavango Resources Plc, Pambili’s largest shareholder, has committed C$340,000 (US$239,000) to the raise, reaffirming its position as a cornerstone investor in the company.

According to a company circular, the funds will be used for general working capital purposes, including debt settlement and the initial evaluation of the London Wall group of mines, over which Pambili has secured a purchase option.

Jon Harris, Chief Executive Officer of Pambili Natural Resources, emphasized that the proceeds would support exploration and development of the company’s Zimbabwean gold assets, including the Golden Valley A1 gold claim.

“Kavango is Pambili’s largest shareholder. Its participation in this raise demonstrates its continued support for our strategic approach to developing the vast modern mining and production potential on offer across Zimbabwe’s underexplored gold belts.

“The proceeds of the raise will provide Pambili with the working capital required to develop its Golden Valley A1 mining claim, as well as to conduct initial due diligence on the London Wall option. We believe the London Wall mine has significant potential to be a company builder, and we look forward to being able to announce positive news from that opportunity in the near future,” he said.

The transaction is subject to TSX-V approval. Redemption will be made through the issuance of Units priced at C$0.05 per Unit.

Each Unit will consist of one Pambili share and one-half of a common share purchase warrant (each whole warrant being a “CLN Warrant”).

Each CLN Warrant will entitle the holder to purchase one additional share (a “CLN Warrant Share”) at C$0.10 within 12 months of notice.

Subject to regulatory approval, Pambili will also pay finder’s fees of up to 7% on funds raised, to be settled through the issuance of shares and warrants on the same terms as the Units.

All securities issued under the transaction will be subject to a four-month-and-one-day statutory hold period from the date of closing, in accordance with Canadian securities laws, in addition to any other restrictions applicable in jurisdictions outside Canada.

Last year, Pambili entered a 12-month agreement with Long Strike Investments to acquire the London Wall group of 21 gold assets in Gwanda, located in Zimbabwe’s Matabeleland South Province.

The option agreement for the London Wall group of gold mines, which includes two previously producing mines—London Wall and New Jessie—covers claims situated along three major regional gold-bearing geological structures. The company believes this acquisition has the potential to be a transformative asset.

The company also owns and operates two gold mines near Bulawayo: the Golden Valley Mine (GVM) and the Happy Valley Mine, which is located approximately 15 km from the city. Pambili sees strong acquisition potential in the region, supported by a track record of historical mining success.

With continued backing from key investors and a growing portfolio of promising gold assets, Pambili Natural Resources is positioning itself as a key player in Zimbabwe’s mining revival.

As exploration and development efforts ramp up across underexplored gold belts, the company’s strategic focus on sustainable growth and operational expansion could mark a pivotal chapter in its journey—and potentially, in Zimbabwe’s booming gold mining sector.

The Dokwe Gold Project in Zimbabwe has been valued at US$160 million following an updated resource estimate. The project, operated by AIM-listed Ariana Resources, saw a significant boost in its mineral resources, strengthening its potential as one of the country’s most promising undeveloped gold assets.

By Ryan Chigoche

This follows a 9% rise in the project’s In-Pit Mineral Resource Estimate announced in March. The updated Measured and Indicated resource now stands at 19.7 million tonnes at 1.54 grams of gold per tonne, equating to 977,000 ounces of gold using a 0.6g/t cut-off grade.

Including all categories—Measured, Indicated, and Inferred—the resource totals 44.9 million tonnes at 0.98g/t, approximately 1.42 million ounces of gold at a 0.3g/t cut-off.

The company attributes the stronger resource base to an improved geological model, providing greater flexibility in mine planning and supporting the updated project valuation.

Ariana presented the US$160 million valuation to its shareholders last week. This figure pertains solely to the Dokwe North deposit and excludes the 0.5% net smelter return royalty owed to Yataghan Investments.

Located in Tsholotsho District, about 110 kilometers northwest of Bulawayo, the Dokwe Project’s new model assumes a gold price of US$2,000 per ounce and targets an annual gold output of 60,000 ounces.

The company has also increased its expected capital expenditure to US$82 million, up from US$80 million, aiming to unlock value from the current 1.4 million ounces of gold within the optimized pit shells at Dokwe North and Central.

Ariana plans to update its pre-feasibility study (PFS) after completing a revised reserve estimate for both Dokwe North and Central.

The company sees strong potential to enhance the project’s economics by increasing gold output to 100,000 ounces per year and extending the mine life beyond 10 years. Plans include constructing a processing plant capable of handling 2 million tonnes of ore annually to support this expansion.

Between late 2023 and early 2024, Ariana drilled 1,222 meters of PQ and HQ diamond holes across both deposits. The drilling confirmed previous exploration data and indicated further growth potential.

Ariana identifies significant exploration opportunities near Dokwe North and Central. In the short term, the focus will be on areas with known gold anomalies and untested zones. Additional areas such as Dokwe Central, Siduli Pan, and Dokwe South remain underexplored and are considered key to future value.

Zimbabwe’s gold potential remains robust. In 1980, the country produced more gold than Western Australia. However, years of underinvestment have caused Zimbabwe to lag behind while WA has become a leading gold producer.

Experts highlight Zimbabwe’s promising geology, noting that the Zimbabwe Craton shares similarities with Western Australia’s Yilgarn Craton, one of the world’s richest gold regions. Companies like Caledonia Mining have demonstrated successful gold mining operations in the country.

Zimbabwe also boasts significant reserves of other minerals, including lithium and platinum group elements (PGEs), enhancing its appeal as a destination for international mining investment.

Ariana believes its early entry into Zimbabwe positions it advantageously. The company plans to advance the Dokwe Project into production while exploring additional growth opportunities as the country’s mining sector develops.

Gold Price Trends and Implications for the Dokwe Project

As of April 4, 2025, gold prices have surged to record highs, reaching approximately US$3,037.36 per ounce, driven by investor concerns over geopolitical tensions and economic uncertainties.

This marks a significant increase of over 18% since the beginning of the year.

Analysts attribute this surge to factors such as recent tariff announcements by President Trump, leading investors to seek safe-haven assets like gold.

Major financial institutions, including Goldman Sachs and Bank of America, have adjusted their gold price forecasts upward, anticipating continued gains driven by trade-war tensions and central bank demand.

This upward trend in gold prices could have positive implications for Ariana Resources’ Dokwe Gold Project. Higher gold prices may enhance the project’s profitability and attract additional investment, supporting Ariana’s plans to increase production and extend the mine’s operational life.

However, the gold market remains volatile, and prices can fluctuate based on global economic developments.

Ariana Resources will need to monitor these trends closely to optimize the project’s economic outcomes.

The Centre for Natural Resource Governance (CNRG) is calling for the immediate closure of Sino Africa Huijin’s Premier Estate mine in Old Mutare, following the fatal shooting of an artisanal miner, Alfred Dodzo.

By Ryan Chigoche

Dodzo was killed by a security guard after allegedly being caught stealing gold ore from the mine. The tragic incident has sparked outrage in the local community, with residents demanding justice and accountability.

CNRG is urging the government to permanently shut down the mine and ensure accountability for the killing while also addressing ongoing labour and environmental concerns at the operation.

Acting Manicaland Police Spokesperson, Assistant Inspector Wiseman Chinyoka, confirmed the incident and stated that authorities were on-site gathering evidence.

In response to Dodzo’s death, around 70 local community members stormed the mine. Enraged, they attacked the security guards, accusing them of taking the law into their own hands. While the guards managed to escape, several were injured.

The mine manager, Daniel Panganai, was not as fortunate. He was pelted with stones and seriously injured. He was rushed to Hartzell Mission Hospital and later transferred to Mutare General Hospital.

CNRG, which visited the scene, highlighted longstanding concerns among workers at Sino Africa Huijin. Workers have repeatedly raised alarms about the mine’s poor living and working conditions. They also allege that the Chinese nationals who own the mine are smuggling gold and failing to declare it to the government, depriving Zimbabwe of critical revenue.

CNRG also pointed to stark segregation at the mine. Zimbabwean workers live in wooden shacks, while Chinese nationals reside in comfortable accommodations within a secure compound. This inequality raises serious questions about the government’s commitment to fairness and equality, especially in light of Zimbabwe’s history of resistance to racial oppression.

Dodzo’s killing reflects a broader, troubling pattern at Chinese-owned mines in Zimbabwe. These companies have faced mounting criticism for violating labour rights, neglecting safety standards, and damaging the environment.

As reported by Mining Zimbabwe, in a separate incident at Sino Africa Huijin, a worker named Taurai Dozva died under mysterious circumstances during a night shift. His family was reportedly given just US$2,000 in compensation—an amount many considered a gross insult to his life and service.

These incidents underscore systemic issues at Chinese-run mines in Zimbabwe, where workers frequently report exploitation, unsafe conditions, and inadequate pay. Many such operations function with minimal oversight, often in violation of labour and environmental laws.

In response, CNRG is calling for the permanent closure of Sino Africa Huijin’s mine.

They propose reopening the site to Zimbabwean artisanal miners to operate under the supervision of the Zimbabwe Mining Development Corporation (ZMDC) and the Minerals Marketing Corporation of Zimbabwe (MMCZ). This, CNRG argues, would enable local communities to benefit directly from their natural resources while ensuring the government receives the revenue it is due.

CNRG has also called for a thorough investigation into the killing of Alfred Dodzo and demanded that those responsible be prosecuted under Zimbabwean law.

Additionally, the organisation is pressing for a full audit of Sino Africa Huijin’s financial activities, particularly in relation to alleged gold smuggling and other illegal practices.

CNRG is urging the government to take stronger action against companies that exploit workers, flout safety regulations, and engage in illicit activities.

Their ultimate goal is to ensure that Zimbabwe’s natural resources benefit all citizens—not just foreign investors.

Unki Mine, Zimbabwe’s third-largest producer of platinum group metals (PGMs), will invest US$700,000 in 2025 to expand its open-pit operations and solar energy infrastructure, Mining Zimbabwe can report.

By Rudairo Mapuranga

According to the 2025 Commodity Outlook Report by the Chamber of Mines of Zimbabwe, the mine will allocate US$500,000 to open-pit expansion and US$200,000 to solar projects. These efforts are expected to boost production by 1% while improving energy resilience and operational efficiency.

The investment comes as Unki faces production setbacks. In Q4 2024, PGM output fell 2% to 60,300 ounces due to a three-day nationwide power outage, according to its parent company, Anglo American Platinum (Amplats).

Earlier in 2024, Unki faced more challenges. In Q2, production dropped 7% to 54,700 ounces after mining through a lower-grade ore zone. Platinum output declined 9% to 25,700 ounces compared to Q2 2023.

Amplats CEO Craig Miller reaffirmed the company’s focus on safety and sustainability, stating, “We are resolute in our commitment to eliminate fatalities from our workplace and ensure zero harm becomes a daily reality.”

Despite challenges, Unki remains a key asset for Amplats. The Q4 2024 report showed a 6% decline in total group PGM output to 875,700 ounces, though own-mined production rose 1%, reflecting improved operations at mines like Unki.

Unki also contributed to a 20% increase in Amplats’ nickel production in Q2 2024, with total output reaching 7,300 tonnes. This resilience, despite a 37% drop in global rhodium prices, highlights the mine’s strategic value.

The US$700,000 investment in expansion and renewable energy positions Unki for stability and growth in 2025, reinforcing its role in Zimbabwe’s PGM sector and contribution to national mining revenues.