Home Blog Page 229

Gracious Sibanda Elected the First Female President of ZDAMWU

Mining
-
0
Gracious Sibanda Elected the First Female President of ZDAMWU

Gracious Sibanda from Hwange Colliery Company Limited has been elected President of the Zimbabwe Diamond and Allied Minerals Workers Union (ZDAMWU) during the organization’s second elective congress held in Bulawayo on Saturday, Mining Zimbabwe can report.

Sibanda is now the second elected President of the organization and its first female leader, marking a significant step towards inclusivity and gender equality within the union. Her election highlights the organization’s commitment to representing every mine worker, regardless of gender.

Sibanda will be supported by Mr. Leslie Ngwenya as Vice President. Other elected officials include Mr. Allen Shoko as Treasurer General, Mr. Allen Ncube as the 1st Trustee, and Mr. Augustine Manyadze as the 2nd Trustee. Additionally, Ms. Caroline Musemwa was elected Secretary for Projects and Investments, with Ms. Nomination Chirimhanzi as Vice Secretary for Projects and Investments. Ms Tendai Mpundu was appointed Chairperson of the Women’s Committee, while Ms Clearance Mathonsi was elected Chairperson of the Youth Committee.

Commenting on her appointment, Sibanda expressed her confidence in winning the election.

“Mining may be male-dominated, but that doesn’t mean women can’t lead. I was confident that I could win because women are great leaders,” Sibanda said.

Regarding the green energy transition, which involves shifting from fossil fuels to renewable energy, Sibanda emphasized the importance of preparing mine workers for the future.

“As ZDAMWU, it is our priority to educate labourers to be ready for green jobs. The union has a responsibility to assist in identifying, researching, and mapping out these opportunities. We advocate for a just transition—one that prioritizes workers and communities above all else, as mine workers are the backbone of a successful economy,” she stated.

Chizuzu Advocates for Regenerative Practices in Mining

Mining
-
0
Chizuzu Advocates for Regenerative Practices in Mining

National Environmental Awareness Trust (NEAT) Co-founder and Zimbabwe Miners Federation (ZMF) Mashonaland West Province Chairman, Timothy Chizuzu, has emphasized the urgent need to move beyond conventional sustainability efforts and embrace regenerative practices in the mining sector.

By Rudairo Mapuranga

Speaking at the Organisation Leadership and Development Network (OLDN) 2024 International Organization Development Change (OD) Conference, held in Gaborone on Friday, Chizuzu highlighted that these regenerative practices aim not only to sustain but to actively restore and revitalize natural and social systems, ensuring that ecosystems and communities can thrive over time.

In his presentation titled “Environment, Social, and Governance (ESG) Considerations for Regenerative Practice,” Chizuzu defined regenerative practices as an approach that goes beyond merely reducing harm to the environment. Instead, these practices focus on creating conditions that allow ecosystems and communities to improve and become increasingly healthy. This, he argued, is crucial for the long-term sustainability of the mining industry and the well-being of the communities that depend on it.

“Key aspects of regenerative practice include a holistic approach, considering the interconnectedness of ecological, social, and economic systems. It’s about making a positive impact by actively improving the health and resilience of ecosystems and communities,” Chizuzu stated during his address.

The NEAT Founder emphasized that mining companies must look beyond their immediate environmental impact and consider the broader socio-economic implications of their activities.

Chizuzu also stressed the importance of tailoring solutions to local conditions and needs. He pointed out that what works in one region or community might not be suitable for another, underscoring the necessity of context-specific strategies in the mining industry.

Chizuzu’s presentation also delved into the practical aspects of integrating ESG considerations into regenerative practices. He outlined several goals and targets that mining companies could adopt, such as reducing greenhouse gas emissions, achieving 100% renewable energy sourcing, and enhancing water management practices.

He cited examples of companies across Africa that have successfully implemented ESG practices, including Dangote Cement in Nigeria and MTN in South Africa. These companies, he noted, have demonstrated that integrating ESG into their operations not only benefits the environment but also enhances their business resilience and community relations.

Zimbabwe’s VFEX Commodity Market to Inspire Regional Network of Commodity Exchanges

Mining
-
0
Zimbabwe’s VFEX Commodity Market to Inspire Regional Network of Commodity Exchanges

The soon-to-be-launched Victoria Falls Stock Exchange (VFEX) Minerals Commodities Exchange (MCE) is set to inspire a network of interconnected regional commodity exchanges, fostering trade through a platform for African mineral resources, experts have said. The commodities exchange, slated for launch in the final quarter of this year, is a strategic move by Zimbabwe to leverage its abundant natural resources.

By Ryan Chigoche / Patricia Rwafa

On August 31, the government enacted the Securities and Exchange (Licensing of Minerals Commodities Trading Participants on the Victoria Falls Stock Exchange) Rules, 2024, and the Securities and Exchange (Victoria Falls Stock Exchange Mineral Commodities) Rules, 2024. This marks a pivotal moment for Zimbabwe and the broader Sub-Saharan African region. These regulations lay the groundwork for trading minerals and commodities on the VFEX, which will be conducted in U.S. dollars, opening new opportunities for entrepreneurs, investors, and the economy.

Commercial law expert Steve Chikengezha from Manokore Attorneys stated that these new regulations will promote regional economic integration by enabling countries to join and freely trade their natural resources.

“Zimbabwe’s pioneering initiative to establish a commodity exchange, specifically the VFEX, has the potential to catalyze economic development not only within Zimbabwe but across Sub-Saharan Africa. By demonstrating the viability and benefits of such a market, it can inspire other countries in the region to follow suit, leading to a network of interconnected commodity exchanges. This interconnectedness would foster trade, investment, and regional integration, while also providing a platform for African resources to be traded regionally, promoting economic integration and strengthening regional value chains,” Chikengezha said.

He added that the establishment of commodities trading on the VFEX could have a broader global impact. As the commodity market in Zimbabwe grows and matures, it could attract international investors and traders, contributing to the country’s integration into the global economy.

Impact of the Commodities Exchange on the Broader Economy

The introduction of commodity trading on the VFEX could have a significant impact on the broader economy, including:

  • Increased foreign direct investment (FDI): The VFEX can attract foreign investors to the commodity market, bringing in much-needed capital and expertise.
  • Job creation: The growth of the commodity market can create new jobs in various sectors, including mining, trading, finance, and logistics.
  • Revenue generation: The government can benefit from increased tax revenue generated by the commodity market, which can fund public services and infrastructure development.
  • Price stability: A well-functioning commodity market can help stabilize prices for minerals and commodities, reducing volatility and benefiting both producers and consumers.
  • Economic diversification: The commodity market can contribute to diversifying Zimbabwe’s economy, reducing its reliance on traditional sectors and making it more resilient to external shocks.

Examples from Other Markets

The success of commodity exchanges in other jurisdictions, such as the London Metal Exchange (LME) and the New York Mercantile Exchange (NYMEX), demonstrates the potential benefits of these markets. These exchanges have significantly boosted economic growth, attracted investment, and promoted innovation in their respective countries. Closer to home, Rwanda’s Ministry of Trade and Industry initiated the Rwanda Commodity Exchange (RCX) in 2011, initially focusing on agricultural commodities. RCX has since expanded to include metals, minerals, and energy resources. Collaborations with the Ethiopian Commodity Exchange and the Nicholas Berggruen Institute led to the development of the East African Exchange (EAX) in 2013, reflecting the growing interest in regional commodity markets.

The introduction of commodity trading on the VFEX marks a significant milestone for Zimbabwe and Sub-Saharan Africa. By providing a platform for efficient trading, attracting investment, and stimulating economic activity, the VFEX has the potential to drive growth, create jobs, and foster regional integration. The broader economic benefits of this initiative, including increased FDI, job creation, revenue generation, and price stability, make it a compelling opportunity for entrepreneurs, investors, and the region as a whole.

The Zimbabwe Stock Exchange (ZSE) originally intended to introduce commodities trading in the first quarter of 2024, but this plan was postponed. With the recent release of government regulations, the ZSE is now preparing to launch a new market segment.

To obtain a license for commodities trading on the VFEX, applicants must fulfil certain requirements. These criteria include being registered with the relevant authorities and ensuring that the principal officer has at least one year of experience in trading such assets, as outlined in the new regulations.

The Zimbabwe Stock Exchange, or ZSE, is the official stock exchange of Zimbabwe. Its history dates back to 1896 but has only been open to foreign investment since 1993. The exchange has about a dozen members and currently lists 63 equities. There are two primary indices, the ZSE All Share and the ZSE Top 10.

The Victoria Falls Stock Exchange was established in 2020 in the resort city bordering Zambia, offering investors a market with fewer risks related to currency fluctuations and inflation issues that have long affected Zimbabwe’s economy.

Chrome Miners Urge Government to Renew Special Grants, Issue Leases

Mining
-
0
Chrome Miners Urge Government to Renew Special Grants, Issue Leases

Chrome miners are calling on the government to renew the Special Grants (SGs) for miners who have been actively producing chrome, as well as to issue lease agreements to those already operating in reserved areas.

 

By Rudairo Mapuranga

 

This call comes as the mining sector seeks to align with the government’s Vision 2030, which aims to transform Zimbabwe into an upper-middle-income economy, with mining playing a pivotal role.

 

Speaking to Mining Zimbabwe, former Chrome Miners Association Chairman Shelton Lucas highlighted that many chrome miners have been rendered illegal due to the government’s decision not to renew SGs for those operating in reserved areas along the Great Dyke, where chrome deposits are concentrated.

 

“Most chrome miners have been affected by the government’s decision not to renew Special Grants. We have effectively been turned into illegal miners in our own country. Many chrome miners operate in the Dyke’s reserved areas, and they have been working under Special Grants. However, the renewal of these grants has been suspended, leaving most miners operating illegally,” he said.

 

The former Chrome Miners Association Chairman also noted that while Zimbabweans have been pushed out of the chrome industry, Chinese operators are now benefiting, which contradicts President Emmerson Mnangagwa’s mantra that the country is built by its citizens.

 

“On the other hand, the Chinese are benefiting because they are operating on tributaries from Mutapa Investment Fund-owned mining companies, such as Kuvimba’s ZimAlloys,” he said.

 

Lucas further emphasized that since Special Grants for mining are typically renewed every two years, the government should reconsider its position and support local miners by granting them mining leases.

 

This, he argued, would enable them to contribute significantly to Zimbabwe’s Vision 2030, which recognizes the mining sector as a key driver of economic growth.

 

“We are calling on the government to consider granting leases to those who were already operating under Special Grants, in line with the mantra that the country is built by its citizens,” Lucas said.

 

The Vision 2030 strategy places a strong emphasis on opening up investment opportunities in the mining industry to both local and foreign players, ensuring that Zimbabwe’s natural resources are effectively utilized to drive the country’s economic transformation.

 

Granting mining leases to local chrome miners would be a step toward realizing this goal while empowering citizens to actively participate in the nation’s development.

 

Implats Warns of Platinum Project Risks Amid EV Shift & Price Slump

Mining
-
0
Implats Warns of Platinum Project Risks Amid EV Shift & Price Slump

Impala Platinum (Implats), a significant player in Zimbabwe’s platinum industry through its ownership of Zimplats and Mimosa mines, has expressed concerns about the future of new platinum projects due to a slump in prices and the rising shift toward electric vehicles that don’t require platinum-group metals (PGMs) in their engines.

By Rudairo Mapuranga

Implats’ CEO, Nico Muller, recently stated that the company sees little chance of new platinum mines being developed, particularly in South Africa, given the current economic climate.

“It’s highly improbable that you’re going to see material investment in new PGMs (platinum group metals) production in South Africa,” Muller said.

Despite these concerns, Implats’ operations in Zimbabwe are still witnessing substantial developments.

Both Zimplats and Mimosa have had to reduce employment as part of broader cost-saving measures. However, this hasn’t stopped them from moving forward with significant investments.

Zimplats is currently constructing a new smelter, will commission a 35MW solar plant this quarter, and has announced plans to establish a base metal refinery (BMR), which could be a game-changer for the local industry. If these projects are commissioned, Mimosa is expected to perform toll processing at Zimplats, indicating a collaborative effort to maximize the value chain within Zimbabwe.

Additionally, Mimosa has recently completed a 165-hectare tailings storage facility, a critical infrastructure investment that underscores the mine’s commitment to sustainable operations and long-term extraction plans.

Zimplats, on the other hand, is reportedly building a tailings storage facility three times larger, reflecting even greater ambition and the scale of investment that these mines are planning for future extraction.

These developments signal that, despite global market challenges, Zimbabwe’s platinum mines are positioning themselves for significant growth and increased production.

While Implats is scaling back investments in some areas and placing certain projects on hold, Zimbabwe’s platinum sector is seeing robust activity from other investors.

Platinum miners are bound by antitrust rules that prohibit them from voluntarily cutting output to stimulate prices. However, Karo Resources and Bravura Holdings are both advancing their PGM mining projects in Zimbabwe, showing confidence in the country’s mineral potential despite the challenges highlighted by Implats.

Karo Resources is developing a large-scale PGM mine, while Bravura is establishing its own mining operations, reflecting strong investor faith in Zimbabwe’s future as a leading platinum producer.

MIF to Leverage Mineral Resources to Capitalize Other Key Parastatals

Mining
-
0
MIF to Leverage Mineral Resources to Capitalize Other Key Parastatals

The Mutapa Investment Fund (MIF) is set to leverage its vast mineral resources to capitalize on other key parastatals, according to CEO John Mangudya. He made this announcement on the sidelines of a recent event where Homelink, a subsidiary of MIF, officially launched a US$30 million housing project.

Ryan Chigoche

As amended, the Mutapa Investment Fund, Zimbabwe’s sovereign wealth fund, was established by The Sovereign Fund Act, Chapter [22:20]. It serves as the strategic arm of the government, capitalized through the transfer of strategic state-owned enterprises and investments with the goal of making them profitable.

At their peak, Zimbabwe’s state enterprises and parastatals contributed 40% to the Gross Domestic Product (GDP). However, due to poor management, corruption, and weak governance systems, their contribution to the economy has plummeted to an estimated 10%.

To restore the parastatals to their former prominence, CEO John Mangudya told Mining Zimbabwe that MIF would leverage mineral resources to capitalize defunct and underperforming parastatals.

“The parastatals are currently contributing about 10-15% to the growth of the economy. To improve this, the companies need to be capitalized. The whole idea behind forming the Mutapa Investment Fund is to leverage our balance sheet—we take assets or resources from one sector and use them to support other companies. For example, we will leverage mining companies’ resources and redirect them into ZESA or NRZ,” Mangudya explained.

Recently, Mangudya stated that the fund undertook and completed a diagnostic assessment of all 29 companies under Mutapa, including their subsidiaries.

Based on this analysis, Mutapa has categorized the parastatals into three blocks. The first block includes enablers of the economy such as ZESA and NRZ, while the second block comprises entities focused on increasing productivity, such as Silo and Allied Timbers.

Mangudya noted that some of these companies require capital injections, while others need changes in management style to achieve capitalization. He emphasized the necessity of an overhaul in corporate governance for some parastatals.

Making inroads in the mining sector recently, MIF injected US$10 million into Invictus Energy, an investment that Mangudya believes will significantly contribute to the long-term economic revitalization of the parastatals. The deal came about as Invictus floated 151,515,152 shares worth US$10 million in a private placement, with Mutapa underwriting US$5 million of the share issue, while a private equity fund, Mangwana Capital, injected another US$5 million to acquire the total shares on offer.

Entities under the purview of Mutapa include NetOne, Air Zimbabwe, TelOne, the National Oil Company of Zimbabwe, the Cold Storage Company, Fidelity Gold Refinery, Homelink, Zimbabwe Power Company, the Industrial Development Corporation of Zimbabwe, and Hwange Colliery Company.

ZDAMWU Calls for Stronger Union Efforts to Tackle Job Insecurity, Unsafe Working Conditions in Mining

Mining
-
0
ZDAMWU Calls for Stronger Union Efforts to Tackle Job Insecurity, Unsafe Working Conditions in Mining
The Zimbabwe Diamond and Allied Minerals Workers Union (ZDAMWU) has made a compelling call for stronger union action to tackle the ongoing challenges confronting mine workers in Zimbabwe.

By Rudairo Mapuranga

Speaking at the 2nd Congress of the Union held at Khumalo Hotel on Saturday, ZDAMWU General Secretary Justice Chinhema underscored the critical need for enhanced protections in the mining sector, particularly in the face of job insecurity, unsafe working conditions, and ongoing exploitation of workers.

In his address, Chinhema painted a sobering picture of the current state of the mining industry, where workers continue to face significant risks and uncertainties.

He highlighted how economic instability in Zimbabwe has further exacerbated the hardships endured by mine workers, who are already grappling with precarious employment and hazardous work environments.

“The reality for many mine workers in Zimbabwe is one of constant fear and uncertainty. Job security is a luxury that most cannot afford, and the conditions under which they work are often dangerous and unacceptable,” Chinhema stated.

His remarks come at a time when the mining sector, a key pillar of Zimbabwe’s economy, is under intense scrutiny for its labour practices.

Chinhema’s speech served as a rallying cry for the union to intensify its efforts in safeguarding workers’ rights. He called for a renewed focus on improving safety standards across all mining operations in the country.

“We cannot stand by while our members continue to work in conditions that put their lives at risk. It is our duty as a union to ensure that every mine worker is able to return home safely at the end of each day,” he emphasized.

The issue of job insecurity was another major point of concern highlighted by the ZDAMWU General Secretary. According to Chinhema, the lack of stable employment in the mining sector has left many workers vulnerable to exploitation. He pointed to the frequent layoffs and contract terminations as evidence of a deeply flawed system that prioritizes profits over people.

“Job insecurity is a weapon used by employers to keep workers in a state of constant anxiety. This makes them more susceptible to exploitation, as they fear losing the little income they have. This must change,” Chinhema argued.

He stressed the need for the union to negotiate more robust employment contracts that protect workers from arbitrary dismissals and ensure that their rights are respected.

Chinhema also addressed the broader economic challenges that have further compounded the difficulties faced by mine workers. He noted that ongoing currency instability in Zimbabwe has led to severe economic hardships for many, as wages have been eroded by inflation and the fluctuating value of the Zimbabwean dollar. This, he said, has left workers struggling to make ends meet, with many unable to afford basic necessities.

“The economic environment in Zimbabwe has placed an unbearable burden on our members. They are paid in a currency that loses value every day, while the cost of living continues to rise. We must fight for better wages and fair compensation that reflects the true cost of living,” Chinhema asserted.

Chinhema reiterated the union’s commitment to standing up for mine workers and ensuring that their voices are heard. He urged all members to remain united in their struggle for justice and dignity in the workplace.

“The challenges we face are great, but our resolve is greater. Together, we can build a future where every mine worker is treated with the respect and fairness they deserve,” he concluded.

Zimbabwe gold buying prices per gram 2 September 2024

Mining
-
0
Zimbabwe gold buying prices per gram 2 September 2024

Fidelity Gold Refinery (FGR) official gold buying prices/ gram. See the Zimbabwe gold buying prices per gram today 2 September 2024.

SG 90% and ABOVE US$76.36/g
SG ABOVE 85% BUT BELOW 90% US$75.55g
SG ABOVE 80% BUT BELOW 85% US$74.74/g
SG ABOVE 75% BUT BELOW 80% US$73.93/g
SAMPLE BELOW 10g BUT ABOVE 5g US$72.72g

Fire Assay CASH $76.76/g

NB: Fire Assay cash price is for gold above 100gs, no sample is deducted.
For the Fire Assay Transfer price, a sample of not more than 10g is deducted
A 2% royalty is charged on all deposits (Small-scale miners)
A 5% royalty is set for Primary Producers

Cash available. Fidelity Gold Refinery prices will be changing daily to match world market prices.

Mutapa Investment Fund Seeks Investors to Boost Mining Cluster

Mining
-
0
Mutapa Investment Fund Seeks Investors to Boost Mining Cluster

The Mutapa Investment Fund, Zimbabwe’s sovereign wealth fund, has revealed that its current strategy for the mining cluster is to form joint ventures and partnerships to revitalize its mining portfolio, rather than acquiring new mines, Mining Zimbabwe has learned.

By Ryan Chigoche

This development comes amid speculation that the sovereign wealth fund may acquire new mines, as Zimbabwe is currently experiencing an unprecedented influx of investors in the mining sector.

Mutapa currently holds a diverse range of assets in the mining sector, and the fund is seeking to unlock the full potential of the mines already in its portfolio. The fund’s mining cluster comprises various companies, each with its unique strengths and resources.

Speaking to Mining Zimbabwe on the sidelines of a recent event, Mutapa Investment Fund CEO John Mangudya stated that they are not looking to acquire new mines but have opened up investment opportunities through partnerships to make the mines already in their portfolio more viable.

“In terms of acquisitions of new mines, the opportunity is for investors to form joint ventures with us, Mutapa. If you want to go into gold production, lithium, or chrome, we have those resources under Mutapa, so if you have a good investor or are an indigenous investor yourself, we can do a joint venture. For now, we can’t acquire new mines, but we need to look at how we can make those already in the portfolio more viable. So, it will either be us putting money there or investors,” Mangudya said.

The Mutapa Investment Fund has a diverse portfolio of mining companies, including Kuvimba Mining House, which owns around a dozen gold, lithium, nickel, and platinum mines, as well as Fidelity Gold Refinery, a gold refining company, and Hwange Colliery Company, a coal mining company. Additionally, the fund has investments in Defold Mine, which owns the Zimbabwe Consolidated Diamond Company (ZCDC), a leading diamond mining company. This diverse range of investments positions the Mutapa Investment Fund as a significant player in Zimbabwe’s mining sector, with a focus on tapping into the country’s vast mineral resources and contributing to its economic growth.

RioZim Loses Over 200 Mine Claims to Zim Army

Mining
-
0
RioZim Loses Over 200 Mine Claims to Zim Army

Listed diamond producer RioZim has lost more than 200 mine claims to the Zimbabwe National Army (ZNA) following the High Court’s dismissal of RioZim’s application regarding the ownership of the claims.

By Ryan Chigoche

RioZim had listed the Defence and Mines Ministers as respondents in its application, which the court found defective. The company initially sought a review of the Defence Minister’s decision to designate the land as a cantonment area or military zone under section 89 of the Defence Act.

In its application, RioZim stated it held 206 mining claims in the Darwendale area of Mashonaland West, including the Wendale 42 and Wendale 43 Block claims, registered under certificate numbers 18006BM and 18007BM, respectively. These mines are located on portions of Darwendale South Eclipse Farm, New Burnside Farm, and Darwendale B Farm. Before filing the court application, RioZim had contacted the Defence Ministry to lay claim to the land, but their request was dismissed on the basis that the land belonged to the Ministry.

In a judgment released this week, High Court judge Justice Webster Chinamhora agreed with the Defence Minister’s argument that the application was defective.

“I will deal with the preliminary points and start by addressing whether or not the deponent had the authority to act on behalf of the applicant. The starting point is section 130(2) of the Insolvency Act [Chapter 6:07], which is a deeming provision that provides as follows: ‘(2) During a company’s corporate rescue proceedings, the board of the company will be deemed to be dissolved…’

“It is evident that the first respondent’s (Minister of Defence) contention that the deponent to RioZim’s founding affidavit lacks authority to depose the applicant’s affidavit is properly founded at law.

“As highlighted above, this proposition is anchored on the fact that when a company is placed under corporate rescue, it ceases having a life of its own,” Chinamhora ruled.

“Having come to the conclusion that the deponent to the applicant’s affidavit had no authority or approval by the corporate rescue practitioner, I make the finding that the application is fatally defective.

“As I have resolved the matter on the basis of the aforesaid preliminary point, there is no application before the court,” Chinamhora said before he struck the matter off the roll with costs.

In August 2018, the Defence Minister, acting under section 89 of the Defence Act, issued a notice cited as Defence (Cantonments) Notice 2018 (No. 51). However, before the notice in February 2018, Falcon Resources (Pvt) Ltd had requested that RioZim grant it a tribute for its chrome ore claims in Darwendale.

The letter specified that the claims needed to be at least 10 kilometres away from what the company referred to as the Darwendale Military Zone. However, RioZim did not respond, as it had no intention of ceding any claims to Falcon Resources (Pvt) Ltd or any other entity.

According to RioZim, it was on May 30, 2018, that the company discovered that Rusununguko Nkululeko, which is linked to the army, and Falcon Resources were mining on its claims, specifically the Wendale 43 Block in Darwendale.

RioZim then engaged with these organizations several times to address the issue, but with no success, as the two companies argued that RioZim was operating in a military cantonment, and they continued mining on the said claims.

RioZim argued that the claim of the area being a military cantonment was false, as the area had not been officially declared as such.

This prompted RioZim to file an urgent chamber application under HC 5212/18, which the High Court initially granted with interim relief. However, Falcon Resources (Pvt) Ltd and Rusununguko Nkululeko (Pvt) Ltd appealed the High Court’s decision under SC 476/18, and the appeal was dismissed.

In the application, RioZim argued that the Defence Minister’s declaration of the area covering its mining claims as a cantonment area under Statutory Instrument 145 of 2018 was reviewable. They contended that the decision was made in a manner that violated the duty to act lawfully, reasonably, and fairly, and was irregular and ultra vires, as the Defence Minister exercised power for purposes other than those for which it was granted.

The Minister argued that RioZim had no mining claims in the area covered by Statutory Instrument 145 of 2018, Defence (Cantonments) Notice 2018 (No. 51). The Minister claimed that the Statutory Instrument declared a 10 km radius shown on the plan as a restricted area. The argument was that RioZim had no valid title to any mining claims within this area, as both Wendale 42 and 43 had been re-pegged and assigned new registration numbers different from those provided by RioZim.

1...228229230...732Page 229 of 732