Mining ZimbabweLatest Mining News, Policy and Industry Updates

Zimbabwe’s copper production more than halved in the first quarter of 2026, highlighting the challenges facing the country’s base metal sector at a time when global demand for the metal is rising and prices remain supportive, Mining Zimbabwe can report.

By Ryan Chigoche

Data from the Ministry of Mines and Mining Development Research Department shows copper output fell to 1,216 metric tonnes in Q1 2026, down 52% from 2,561.78 tonnes produced during the same period in 2025.

The decline places copper among the minerals that have recorded significant production setbacks despite Zimbabwe’s broader mining sector continuing to benefit from favourable commodity prices, with gold and lithium remaining the biggest contributors to mineral export earnings.

Copper’s weak performance also reflects a sharp decline compared with recent production levels. In 2024, Zimbabwe produced 3,689 tonnes in the first quarter, followed by 2,961 tonnes in Q2, 3,547 tonnes in Q3, and 2,752 tonnes in Q4.

At 1,216 tonnes, production during the opening quarter of 2026 was nearly two-thirds below the 3,689 tonnes recorded in Q1 2024, highlighting the extent of the sector’s decline.

However, the quarterly figures mask some improvement towards the end of the period, with monthly production showing signs of recovery.

Copper output started the year at 353 tonnes in January before declining to 260 tonnes in February. Production then rebounded strongly in March, reaching 601 tonnes, the highest monthly output recorded during the quarter.

The March recovery, which saw production more than double from the previous month, provides an early indication that output pressures may be easing. If sustained, the improvement could support stronger production in subsequent quarters.

The potential recovery comes at a crucial time for copper markets. The metal has become increasingly important globally due to its role in electrification, renewable energy infrastructure, electric vehicles, and expanding power networks.

Copper prices have remained elevated, trading at around US$13,800 per tonne in July 2026, while analysts at Macquarie raised their 2026 average copper price forecast to US$13,165 per tonne.

Although the global market is expected to experience short-term surpluses, the long-term outlook for copper remains positive, with demand expected to grow as economies invest in energy transition infrastructure.

For Zimbabwe, the current market environment presents an opportunity to rebuild a copper industry that has declined significantly over the past decades and expand its mineral export base beyond gold, platinum group metals, and lithium.

Copper was once a more prominent contributor to Zimbabwe’s mining sector, with historical data showing production reaching around 16,000 tonnes in 1990 before a prolonged decline driven by mine closures, underinvestment, and operational challenges.

The contrast between historical output and current production highlights the challenge facing Zimbabwe: translating its mineral resource base into sustained production growth at a time when copper is emerging as one of the world’s most strategic industrial metals.

As countries compete to secure supplies of minerals needed for the energy transition, increasing copper output could provide Zimbabwe with an opportunity to strengthen its role in global critical mineral supply chains.

However, unlocking that potential will require sustained investment, exploration, and improved production capacity. While the March rebound offers an encouraging signal, restoring Zimbabwe’s copper sector to previous levels will depend on whether producers can maintain growth beyond short-term improvements.

Global investors continued pouring money into gold during the first half of 2026 despite a sharp pullback in June, signalling that confidence in the precious metal remains resilient amid ongoing geopolitical tensions and economic uncertainty, Mining Zimbabwe can report.

By Ryan Chigoche

For Zimbabwe, Africa’s leading gold producer, the trend is encouraging. Sustained global investment demand helps support international gold prices, strengthening export earnings and providing a favourable backdrop for the country’s largest foreign currency earner.

According to the latest report by the World Gold Council, investors channelled a net US$8 billion into gold-backed investment funds during the first six months of the year, even though June alone recorded US$8.9 billion in outflows as weaker prices prompted some investors to lock in profits.

The report shows that global gold holdings in these funds fell by 74 tonnes during June to 4,047 tonnes, while total assets under management declined to US$526 billion. However, holdings remained 18 tonnes higher than at the beginning of the year, suggesting that June’s sell-off was a temporary correction rather than a shift away from gold.

That distinction matters for Zimbabwe. While the country does not issue gold investment funds, it exports physical gold into international markets. Continued investor appetite for the metal supports global prices, which in turn boosts export revenues, mining profitability and foreign currency inflows.

June’s weakness was driven mainly by North America, where investors withdrew US$5.5 billion, resulting in the region’s weakest first-half performance since 2013.

The World Gold Council attributed the outflows to lower gold prices and changing expectations around US interest rates. Hawkish signals from the new US Federal Reserve leadership, coupled with inflation concerns linked to the US-Iran conflict, strengthened the US dollar and raised bond yields, making non-interest-bearing assets such as gold less attractive in the short term.

Despite this, the Council believes investor demand could stabilise in the second half of the year as geopolitical risks, slower global economic growth and financial market uncertainty continue to reinforce gold’s appeal as a safe-haven asset.

Europe also experienced outflows in June, with investors withdrawing US$818 million, although the region still posted US$3.2 billion in net inflows during the first half of the year.

Asia, meanwhile, recorded its first major setback after leading global demand earlier in the year. Investors withdrew US$2.3 billion during June, largely from China, where stronger equity markets and lower gold prices encouraged a shift into riskier assets. Japan also saw outflows following higher domestic interest rates.

India was the exception, attracting fresh investment as buyers viewed the price decline as an opportunity to increase their exposure to gold.

Beyond investment flows, activity across the global gold market remained exceptionally strong.

The World Gold Council said average daily gold trading volumes reached a record US$488 billion during the first half of 2026, reflecting sustained participation from institutional and retail investors despite recent price volatility.

For Zimbabwe, the strong trading activity and positive first-half investment flows suggest that global demand for gold remains fundamentally intact.

While higher interest rates and a stronger US dollar could continue to create short-term price swings, persistent geopolitical uncertainty and concerns over the global economy are expected to keep gold well supported through the remainder of the year, providing a favourable outlook for Zimbabwe’s gold sector.

BlackRock, the world’s largest asset manager, has disclosed a 6.15% interest in Caledonia Mining Corporation Plc after crossing a regulatory reporting threshold that requires public notification, highlighting continued institutional interest in the Zimbabwe-focused gold producer, Mining Zimbabwe can report.

The disclosure was announced by Caledonia Mining on Thursday after the company received notification from BlackRock that its holding crossed the relevant threshold on July 7, 2026, triggering disclosure obligations under the London AIM Rules for Companies.

“Caledonia Mining Corporation Plc announces that it received notification on July 8, 2026, from BlackRock, Inc. that on July 7, 2026, it had crossed a threshold for notification of a relevant change (as defined by the AIM Rules for Companies),” the company said in a statement.

According to the filing, BlackRock’s total interest in Caledonia now stands at 6.15%, comprising 4.96% of voting rights attached to shares and a further 1.18% held through financial instruments, taking the asset manager’s overall notifiable interest above the regulatory disclosure threshold.

BlackRock’s last announcement, which we published on the Mining Zimbabwe website, was on June 23, 2023, when the company announced that it held an ownership stake that exceeds 3% of Caledonia’s issued share capital.

Managing more than US$10 trillion in assets, BlackRock is the world’s largest asset manager and one of the most influential institutional investors in global financial markets. While the filing is a regulatory requirement rather than an indication of a fresh investment decision, it places one of the world’s biggest fund managers among Caledonia’s significant shareholders.

Caledonia owns and operates the Blanket Gold Mine in Gwanda, one of Zimbabwe’s largest producing gold mines, and is listed on the NYSE American, London’s AIM market, and the Victoria Falls Stock Exchange (VFEX). The company is also advancing the Bilboes Gold Project, which is expected to become its next major growth asset and significantly increase future gold production.

The BlackRock disclosure comes at a time when Caledonia continues to post solid operational and financial results, supported by elevated global gold prices and consistent production from Blanket Mine.

In its latest quarterly results, the miner reported a strong financial performance driven by higher realised gold prices while maintaining its 2026 production guidance of between 74,000 and 78,000 ounces.

The company also reaffirmed progress on the Bilboes Gold Project, which remains central to its long-term growth strategy and is expected to transform Caledonia into a multi-asset gold producer.

Although BlackRock’s notification is a routine regulatory filing required when a shareholder’s interest crosses prescribed thresholds, the disclosure reinforces Caledonia’s appeal to global institutional investors as it continues to expand its footprint in Zimbabwe’s gold sector.

Zimbabwe’s chrome production plunged 61% in the first quarter of 2026 as the depletion of easily mined alluvial chrome deposits forced producers to shift to more costly hard-rock mining, exposing structural challenges in a sector dominated by small-scale operators, Mining Zimbabwe can report.

By Ryan Chigoche

Latest figures from the Ministry of Mines and Mining Development show chrome recorded one of the steepest production declines among the country’s major minerals during the January to March period, raising concerns over the industry’s ability to sustain output as easily accessible deposits become exhausted.

Zimbabwe’s chrome production fell sharply during the reporting period, with output declining to 178,425 metric tonnes from 465,638 metric tonnes in the prior comparable period, marking a 61% drop in production.

Commenting on the sharp decline, Chrome Miners Association of Zimbabwe Chairperson Shelton Lucas said the contraction reflects the exhaustion of alluvial chrome deposits, which have historically contributed to the bulk of the country’s production.

“Chrome production declined by 61% because the alluvial chrome, which contributed to most of the chrome production, is now exhausted, and it requires a long time to be replenished through sedimentary deposition,” Lucas told Mining Zimbabwe.

For years, alluvial chrome has been the backbone of Zimbabwe’s chrome industry, particularly for artisanal and small-scale miners. Unlike lumpy chrome, which is locked in hard-rock deposits, alluvial chrome occurs in loose surface sediments and can be extracted using relatively simple and low-cost mining methods. Its accessibility enabled thousands of small-scale miners to enter the sector with limited capital and equipment.

However, as these near-surface deposits have become depleted, miners are increasingly being forced to extract lumpy chrome from hard-rock deposits. The transition requires drilling, blasting, crushing, and greater mechanisation, significantly increasing production costs and placing the resource beyond the reach of many small-scale operators who dominate Zimbabwe’s chrome mining industry.

Lucas said the economics of hard-rock mining have become increasingly unsustainable under current market conditions.

“The cost of mining lumpy chrome doesn’t match the price. Since there was a ban on ore exports, miners have been left susceptible to predatory pricing from Chinese companies that own smelters,” he said.

Zimbabwe banned the export of raw chrome ore to promote local beneficiation and encourage investment in domestic smelting. While the policy has supported value addition, miners argue that the limited number of smelters has reduced competition for ore, leaving producers with fewer buyers and weaker bargaining power over prices, even as the cost of mining lumpy chrome continues to rise.

Lucas said increasing processing options for miners would help restore balance to the market.

“We should have government-owned smelters that can do toll smelting for chrome,” he said.

Under a toll-smelting arrangement, miners pay a processing fee while retaining ownership of their chrome, allowing them to market the processed product instead of selling raw ore at prices determined by smelter operators.

The Ministry of Mines has said that addressing production contractions through targeted investment in mining infrastructure, energy supply, and operational efficiency will be essential to sustaining growth in the mining sector over the medium term.

The latest production figures suggest Zimbabwe’s chrome industry is entering a new phase, where sustaining output will increasingly depend on miners’ ability to transition from easily mined alluvial deposits to capital-intensive hard-rock operations while ensuring they receive prices that justify the higher cost of extraction.