Mining ZimbabweLatest Mining News, Policy and Industry Updates

Minister of Mines and Mining Development Hon Soda Zhemu said that he was not adequately informed about the concerns raised by Mining Executives regarding high government fees and royalties that are hindering the mining industry growth.

The mining industry in Zimbabwe has been grappling with challenges due to falling international commodity prices since 2023. Executives have cited the high royalties, fees, and taxes in the region as obstacles to foreign direct investment (FDI) inflows into the mining sector.

Despite the concerns raised by industry players, the new Minister said that he had not been made aware of these issues. He stated that industry officials should approach the Ministry or the Ministry of Finance with their concerns for appropriate action to be taken.

The government set a target for annual mining sector revenues to reach $12 billion by 2023 under a five-year strategy announced in 2018. However, the Chamber of Mines of Zimbabwe warned in 2022 that achieving this target would be an uphill task unless the industry’s problems were addressed.

According to concerns submitted by the Chamber of Mines of Zimbabwe in October, the mining industry has experienced a significant decline in prices for key minerals over the past 12 months. This, combined with increased costs, including a 40% rise in electricity prices and higher royalties for platinum and lithium, has severely impacted the viability of mining projects.

In interviews mining industry executives expressed concern over the onerous royalty regime, stating that it could ruin the sector.

Pfungwa Kunaka, the permanent secretary of the ministry, countered these claims, stating that the government has been supporting mining companies through various incentives. He mentioned VAT deferment, national project status, and duty rebates as examples of government support.

“Government is supportive of mining companies,” he said.

“It is offering incentives such as VAT deferment, giving projects the national project status and duty rebates where applicable. Sentiments are often raised that the royalty regime is burdensome.

“It would appear that generally, mining ventures are currently viable although the challenges will arise if the current slump in mineral prices continues for too long,” he added.

Zimbabwe is rich in mineral resources, including chrome, gold, nickel, diamond, iron ore, and platinum. The country has a competitive advantage in the mining sector with over 40 commercially exploitable minerals. However, addressing the challenges facing the industry is crucial for its growth and contribution to the economy.

A fake text message is making rounds on WhatsApp claiming there is a Massive intake at Anglo American’s Unki Mine in Shurugwi. The scam message lists various job positions and urges applicants to contact the recruitment team via phone or email.

The message, which includes a lengthy list of job positions available in the administrative, transport, and engineering departments, is accompanied by contact details for the purported recruitment team. It specifies the names and phone numbers of the fake HR representatives, listing a Mrs. Nhire and Mr. Midzi who the scam message says should be contacted on 714751954 or App 715477977, as well as an email address ending with “[email protected].”

Speaking on the circulating message, Unki Protection services advised job seekers to disregard the scam message clarifying that Anglo American vacancies, Including those at Unki Mines, will NEVER be advertised on social media such as Facebook, WhatsApp, Twitter, Instagram or YouTube.

“This is a message from heartless criminals who prey on unsuspecting job seekers who are desperate for employment,” Unki Protection representative said.

He shared a document that stipulates how employment is gained at the platinum miner.

Mining Zimbabwe tried contacting the listed numbers which rang but there was no response. We also sent a Whatsapp message which had not been responded to by the time of publishing this article.

The Scam message

Getting a job at Anglo American owned Unki mine

All Anglo American vacancies, including those at Unki Mines, are advertised on
www.angloamerican.com/careers/job-opportunities. Local vacancies are advertised on notice boards at Unki Mines Complex.

The Scammers contacts

JAC Motors, a Volkswagen-backed Chinese automaker, is set to launch the first mass-produced electric vehicle (EV) with a sodium-ion battery through its new Yiwei brand. Although sodium-ion battery tech has a lower density (and is less mature) than lithium-ion, its lower costs, more abundant supplies and superior cold-weather performance could help accelerate mass EV adoption. CarNewsChina reports that the JAC Yiwei EV hatchback deliveries will begin in January.

Yiwei is a new brand in 2023 for JAC. Volkswagen has a 75 percent stake in (and management control of) JAC and owns 50 percent of JAC’s parent company, Anhui Jianghuai Automobile Group Holdings (JAG). The Chinese government owns the other half of JAG, making for one of the auto industry’s stranger pairings.

The Yiwei EV appears to be a rebranded version of the Sehol E10X hatchback (above), announced earlier this year. CarNewsChina describes the Sehol model as having a 252 km (157 miles) range with a 25 kWh capacity, 120 Wh / kg energy density, 3C to 4C charging, and a HiNa NaCR32140 cell. When JAC revealed the Yiwei brand in May, it said it would drop the Sehol label and rebrand all its vehicles to either JAC or Yiwei, leading us to this week’s EV reveal. JAC hasn’t yet said whether the Yiwei-branded model will keep the E10X moniker.

In April, JAC showcased a separate EV called the Yiwei 3 at the Shanghai Auto Show. That model launched in June with an LFP lithium battery, promising the sodium-ion variant would launch later.

The new Yiwei EV reportedly uses cylindrical sodium-ion cells from HiNA Battery. JAC assembles the batteries in the company’s modular UE (Unitized Encapsulation) honeycomb structure, similar to CATL’s CTP (cell-to-pack) and BYD’s Blade. The layout can provide for greater stability and performance.

The world’s biggest lithium producer, Australia has projected that lithium prices will decline by 42.7 percent in 2025 compared to 2023 due to rising supplies of battery metal, subdued Chinese demand and a lacklustre American electric vehicle (EV) market.

Rudairo Mapuranga

The world’s biggest lithium producer which mined about half of the world’s lithium in 2022 said the spot price of spodumene will fall to US$2,200 per tonne in 2025 from an average of US$3,840 per tonne in 2023.

According to a quarterly report by Australia’s Department of Industry, Science and Resources issued last month, lithium hydroxide, a refined version of the metal used in batteries, may decline to around $30,000 per tonne next year from an estimated average of $52,450 in 2023, the Department said.

Lithium carbonate, a precursor to the hydroxide, was 96,500 yuan per tonne on Thursday, down from about 170,000 yuan in September, according to Trading Economics.

“Prices are not expected to return to previous high levels such as during 2022 and early 2023 before 2025 due to the forecast surplus in supply,” the Department said. “Some higher-cost producers, such as lepidolite miners in China, have become unprofitable and cut production. However, most lithium producers will remain profitable at current prices and continue to produce.”

The lower spot lithium prices may make electric vehicles and batteries less expensive but they could also hamper investment to develop battery metal mining projects needed for the wider transition to cleaner energy. That could delay consumer acceptance, thwart attempts to limit climate change and increase costs in the long run.