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Gov issues a stern warning to investors violating labour & immigration laws

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Mines and Mining Development Minister Hon Winston Chitando yesterday read the riot act to foreign investors in the mining sector violating labour and immigration laws.

“I want all mining activities in Zimbabwe to be done in accordance to the laws of this country, and I repeat that they must observe the laws of this country. We want labour and immigration laws to be observed. Government is going to take a tough stance against those who are not going to observe these laws,” Chitando told small-scale miners and foreign investors at a Zimbabwe Miners Federation (ZMF)-organised workshop in Harare yesterday.

“It is part of President Emmerson Mnangagwa’s vision that mineral resources must benefit Zimbabweans, and that investors get their returns or profits.”

ZMF president Henrietta Rushwaya lamented the existence of middlemen in the mining sector who buy minerals from small-scale miners for a song.

“We also intended to discuss the ban of exports which came as a relief for us because small-scale miners have been supplying lithium and other ores at unreasonable prices. This was not fair at all. Just imagine selling a tonne of lithium at US$100 per tonne while the middlemen get US$800 from it, and government is losing in terms of revenue,” Rushwaya said.

She said the ban on raw lithium exports would ensure the country cashes in on value addition.

Other issues raised during the meeting were that Chinese mining companies keep clashing with local communities due to ill-treatment of workers and flouting of the country’s labour laws.

Chinese investors formed the bulk of investors that attended the meeting.

the Standard

Dallaglio Chairman Sternford Moyo Bestowed Freedom of City of London Award

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The Honorary Freedom of the City of London Award is a recognition of lifetime achievement or high international standing. Dallaglio Investments (Pvt) Ltd Chairman Mr. Sternford Moyo has been bestowed with the Freedom of the City of London for his unswerving commitment to the rule of law and contributions to the international legal profession in general. The granting of this award is extremely rare and generally given today only to royalty, heads of state or figures of global standing.

Mr. Moyo is the Chairman of one of the country’s biggest gold-producing companies Dallaglio Investments (Pvt) Ltd. He is also the Chairman and Senior Partner at Scanlen and Holderness law firm based in Harare. Mr. Moyo’s award was in recognition of his outstanding work as the President of the International Bar Association (IBA). Notably he is the first person from Africa to serve as IBA President.

In his remarks, Moyo said, “It is a great honour to receive from the London City Corporation this Freedom. In fact, it has been one of the most special events of my life. I regard London as my second home, and the International Bar Association has strong roots in England’s capital city. I want to thank the City of London, the IBA and the Law Society of England and Wales for their support, and Alderman Sir David Wootton for nominating me for this prestigious award.’

“It has been my good fortune to have met, and to be, working alongside such incredible colleagues as the IBA Officers here today, including Mark Ellis, who I have worked with now for more than twenty years following our first meeting in Harare where we discussed the rule of law, administration of justice and the independence of the judiciary in Zimbabwe. I could not have conceived two decades ago that today I would have the good fortune of being seated in this remarkable city, with my family and fellow upholders of the rule of law the recipient of such an accolade.”

Sir David Wootton, former Lord Mayor of the City of London, who nominated Mr. Moyo for the Freedom, said: ‘It is a pleasure to welcome Sternford Moyo as a Freeman of the City of London. As the first person from the continent of Africa to be elected President of the IBA, he has already contributed so much to the international legal sector, and his commitment to the rule of law is something very much shared by the City of London.”

Dallaglio as well as the wider mining community would like to congratulate Mr. Moyo on this outstanding achievement.

Blitz nets 200 panners

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Bulawayo City Council (BCC) rangers have roped in the Zimbabwe Republic Police (ZRP) in an operation to stop illegal mining activities in the Umzingwane River catchment area, which has resulted in 201 illegal gold panners being arrested.

The illegal gold miners were causing environmental damage and the siltation of dams, which affected the water-holding capacity of the city’s supply dams.

Some of Bulawayo’s supply dams affected by siltation as a result of illegal mining activities are Umzingwane, Lower Ncema, Upper Ncema, Inyankuni, Insiza and Mtshabezi. They are all in Matabeleland South province.

Of late, there has been an upsurge in gold panning activities along the rivers feeding these supply dams, thereby reducing their holding capacity.

The latest council minutes state that the director of housing and community services Dictor Khumalo raised concerns over environmental violations happening in Bulawayo.

“On the degradation in Greater Bulawayo and water catchment areas, joint patrols were conducted in the areas by rangers and police.  A total of 140 hand tools and three detector machines were confiscated and handed over to Esigodini police as exhibits,” the minutes read.

“Twenty illegal gold panners were handed over to Esigodini courts for prosecution. A total of 201 illegal gold panners were arrested throughout the year 2022.”

With regards to mineral and sand extraction in Bulawayo, the minutes stated that two stakeholder meetings were held to discuss the welfare of donkeys and another one was conducted on the Hualin Quarry Mine in Pumula North.

“During the patrols, a total of 59 tickets were issued to various offenders. Twenty-six tickets had already been cleared and a sum of US$1 802,37 was realised. A total of 33 tickets were still outstanding with a value of US$15 980,27. Patrols were conducted in both the eastern and western areas of the city.

“A total of 14 truckloads were recorded at the two designated pitsand sites, and a total US$230 was realised from the sales.  Illegal cultivation was now rampant as the rainy season continued. Slashing of maize was conducted at Nketa Park and Luveve Gum Plantation to curb the invasion of protected areas by illegal cultivators.”

Southern Eye

Gold buying prices Thursday 23 February 2023

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Fidelity Gold Refinery (FGR) official gold buying prices Thursday 23 February 2023.

SG 90% AND ABOVE US$56.06/g
SG ABOVE 85% BUT BELOW 90% US$55.18/g
SG ABOVE 80% BUT BELOW 85% US$54.59/g
SG ABOVE 75% BUT BELOW 80% US$54.00/g
SAMPLE BELOW 10g BUT ABOVE 5g US$53.11/g
FIRE ASSAY CASH US$56.06/g

NB: Fire Assay cash price is for gold above 100gs and 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 charged to Primary Producers

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

Zulu lithium project nears completion

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Diversified miner and developer Premier African Minerals CEO George Roach reports that the company’s Zimbabwe-based Zulu lithium and tantalum project is on track to produce spodumene concentrate before the end of the first quarter.

“We are in the home stretch in terms of final plant assembly and commissioning,” he adds.

To date, Premier has completed construction of flotation circuits, with all major structures, tanks and associated civils complete and pipework, electrical and pneumatic connections currently being assembled.

Zulu, located 80 km from Bulawayo, comprises 14 mineral claims covering a surface area of 3.5 km2.

With the exception of the secondary crushing circuit that is expected this week, all major components of the crushing, sorting, screening and milling plant are installed and ready for power-up.

Regarding water supply, the mine’s main storage dam is at a level of 10 m and already contains sufficient water for ongoing operations.

Generators and electrical motor control centres are en route from Johannesburg and will be installed immediately on arrival.

As for mining operations, Roach reports that pit clearing and exposure of the orebody is underway.

In addition, the miner points out that major earthworks, including the tailings facility, are well-advanced and are not expected to cause any delay at this time.

“A particularly wet season has not helped but what has been achieved despite this and numerous difficulties associated with logistics, borders, ongoing relocations, inter alia is quite remarkable.

“In July 2022 this was nothing but bush, today we have a mine,” he says.

Roach adds that more significant assay results are expected in the coming weeks.

Mining Weekly

Women Miners encouraged to contribute to the Mines bill

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Popular Miner and business-woman Sophia Takuva has urged women Miners across the country to attend, hear and also contribute to the bill as it affects their mining operations.

In a statement, she published on African Women In Mining Empowerment Trust (AWOME Trust) Takuva said it will affect the women if they do not participate and give recommendations.

“May I take this opportunity to advise you all that the mines and mining bill is under consultation with stakeholders, would like to urge miners in various parts of the country to attend, hear and also contribute to this bill, as it affects or helps in the mining operations for the coming years. It will affect us if we do not participate and give recommendations. Remember this bill has been moving back and forth with certain areas where, especially small-scale miners have failed to do business and collective approach for those doing alluvial VS reef mining, illegal and legal miners. The Parliamentary Portfolio committee will be going around the country collecting information about challenges and areas where the bill must be looked at.

The Parliamentary Portfolio Committee on Mines and Mining Development from next week will be conducting public hearings on the Mines and Minerals bill H.B 10 2022. The bill seeks to replace the current Mines and Minerals Act which was enacted in the 1960s.

In an interview with Mining Zimbabwe, chairman of the Portfolio Committee on Mines and Mining Development Hon Edmond Mkaratigwa said everyone interested or affected in any way by Mining is welcome to attend.

“We hope by this pronouncement we are going to see a lot of stakeholders attending, and we have no limitations. Everyone who is interested or has views they want to contribute or are affected by mining in one way or another is welcome to attend,” Mkaratigwa said.

Below are the dates and places the Committee will be visiting from the 27th of February 2023.

DATEPROVINCEVENUE
Monday, 27 February 2023HarareHarare
Tuesday, 28 February 2023Mashonaland CentralBindura
Wednesday, 1 March 2023Mashonaland EastMakaha
Thursday, 2 March 2023ManicalandPenhalonga
Friday, 3 March 2023Masvingo MidlandsMashava Mberengwa
Monday, 6 March 2023Mashonaland WestKadoma
Tuesday, 7 March 2023BulawayoBulawayo
Wednesday, 8 March 2023Matebeleland SouthEsigodini
Thursday, 9 March 2023Matebeleland NorthHwange
Friday, 10 March 2023Matebeleland NorthKamativi

Ministry of Mines calls for a temporary halt to low-lying mining

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The Chief Government Mining Engineer Michael Munodawafa has emphasized the importance of preserving life and called on artisanal and small-scale miners who are mining in low-lying areas to temporarily stop operations as Zimbabwe braces for Tropical Cyclone Freddy.

In a statement, Eng Munodawafa said heavy rains and flooding will lead to ground instability in the ground due to oversaturation of water potentially leading to ground collapse risking the lives of miners working underground.

My fellow Zimbabweans especially our small-scale miners and relatives I’m sure we have all heard about the Cyclone coming to Zimbabwe in the next few days. The cyclone will come with a lot of heavy rains which will cause flooding. We are therefore encouraging all miners, especially small-scale miners who are mining in waterways or low-lying areas to temporarily stop their operations until when the floods have gone. The heavy rains and flooding will also result in the introduction of instability in the ground due to oversaturation of water will result in ground collapse and bury our miners alive,” Eng Munodawafa said.

Eng Munodawafa advised miners to take the warning seriously as the country did not want to lose any lives because of the floods.

“Let’s all take this advice seriously as we do not want to lose any miners during this cyclone Freddy. Let’s value our lives more than the gold or any other mineral we are mining. A single loss of life is a loss to the family, the village, the country and all of us. Please let’s retreat briefly until the cyclone has gone and contribute meaningfully to Zimbabwe,” Munodawafa concluded.

Intense Tropical Cyclone Freddy, a particularly powerful and compact tropical system, is forecasted to make landfall in Madagascar on February 21, 2023.

Cyclone Freddy is projected to emerge in the Mozambique Channel and re-strengthen before landing in Mozambique and potentially reaching Zimbabwe, particularly in Chimanimani and Chipinge in the Eastern Highlands of Zimbabwe.

Freddy represents a significant flood risk for Madagascar as soils are already saturated in central parts of the island from the impact of Cyclone Cheneso, which stalled off the west coast of the island and brought torrential rains in late January that affected over 90,000 people with 33 people killed and 20 people still missing.

Unki 47 percent production increase

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The country’s second-largest platinum group metals (PGM) producer Anglo American Platinum-owned Unki Mine in Shurungwi has recorded a 47 per cent production increase in 2022 compared to the previous year.

Rudairo Mapuranga

During the year, Unki Mine produced 232 000 ounces of PGM compared to 205 000 ounces the previous year.

The PGM producer however recorded a 17 per cent production decrease during the last quarter of 2022 compared to the same period in 2021.

Unki Mine also recorded a production increase of 41 per cent during the quarter that ended 30 September 2022 compared to the same quarter of 2021.

The Anglo-American Platinum-owned PGM producer recorded 59 900 tonnes during the quarter compared to 42 600 tonnes produced during the comparable quarter of 2021. However, there was a 10 per cent decrease compared to the previous quarter which ended on 30 June 2022 when the mine recorded 66 300 tonnes of production.

Compared to the first quarter of 2022, the PGM producer recorded an increase from 53 300 tonnes while during the fourth quarter of 2021, the mine produced 63 200 tonnes.

During the first three quarters of 2022, the PGM producer recorded a 27 per cent increase to 179 500 tonnes from 141 400 tonnes produced during the first three quarters of the previous year.

Zimbabwe is envisioning a US$12 billion mining industry by 2023. Of the US$12 billion, platinum will contribute US$3 billion.

Mines Bill prioritises indigenous Zimbabweans – Dias

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The Mines and Minerals Amendment Bill will bring sanity and empower indigenous Zimbabweans to benefit fully from their God-given mineral resource, Deputy Attorney General Nelson Manuel Dias has reviewed.

Rudairo Mapuranga

Responding to a question from Mr Hyde Chatyokwa which suggested that the current bill is segregating native Zimbabweans in favour of foreigners at the Mines and Minerals Amendment Bill all stakeholders conference held at Rainbow Hotel, Harare this past Monday, Dias said the Bill was prioritizing Zimbabweans and ensuring that communities benefit significantly.

“The Bill prioritizes indigenous Zimbabweans, it does not in anywhere prefer foreigners. The Bill wants to protect communities, want to empower small-scale miners and it has clearly spelt that.

“Foreign companies are subjected to a lot of requirements for them to start mining whilst, for indigenous Zimbabweans, it is very easy,” Dias said.

Speaking at the same event Parliamentary Portfolio Committee on Mines and Mining Development Chairperson Hon Edmond Mkaratigwa said that his Portfolio was ready to bring out a law that supports indigenous people.

“We want to make the bill the best and acceptable by all citizens in Zimbabwe,” Hon Mkaratigwa said.

Through the Parliamentary Portfolio Committee on Mines and Mining Development capacity building workshop held in Bulawayo last week, members raised several issues among them issues of the Formalisation of the ASM, strategic minerals, and constitution of the Mining Affairs Board among others.

According to Hon Mkaratigwa the recognition of Artisanal and Small-Scale miners, The farmer-miner disputes; Environmental, Health and Safety Issues; Transparency in the licensing regime of mining titles; Recognition of Provincial Mining Directors; Devolution of the Mining Sector administration royalty; Equality and equity of mining fees across provinces and local authorities; Corporate Social Responsibility and the need for social and environmental protection and; Installation and operationalization of Computerized Cadastre System among others are critical issues in the bill.

On the formalisation of artisanal miners, Dias said the Bill has recognised artisanal and small-scale miners and has given them a chance to formalise their operations.

It was highlighted that there may be a need to also add Gold and Platinum Group Minerals under strategic minerals considering their huge contribution to the mineral revenue as well as the social fabric. Dias however said that it was putting gold and PGMs as strategic minerals that might be detrimental to small-scale miners. He, however, said that through the bill, the Minister is empowered to declare any mineral as strategic.

It was also highlighted that on the Constitution of the Mining Affairs Board (MAB) Section 8 should explicitly mention small-scale miners being represented by the Zimbabwe Miners Federation (ZMF). Dias however, said that the board will not have specific organizations except for the Chamber of Mines which has an act governing it.

It was highlighted that section 23 on qualifications required for one to be registered as a staking agent should be specific on what kind of qualifications. Dias however said that it was the duty of the Minister to specify the requirements for the stacking agents.

It was raised that, on the issuance of Exclusive Exploration Licence- too many offices are involved which does not promote the ease of doing business. The Deputy Attorney General, however, said EEL is a bridge to special leases so it was difficult for the government to ease the process because it requires so much scrutiny to safeguard the country’s resources for Zimbabweans.

It was proposed that the best way to deal with CSR Certification may be through the creation of Community Based Organisations through Local Authorities in a bid to empower the communities around mining areas themselves to certify the level of compliance by a miner on his or its social responsibility obligations. Dias however said it was important for the process to be managed by experts as communities have proven to be vulnerable for many a time. He said usually communities Act in the judgement of poverty and end up getting duped.

 

Use of a hammermill without commissioning is illegal

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A Hammermill can only be used after commissioning, a Ministry of Mines and Mining Development official has said.

Responding to a question from the Portfolio Committee on Mines and Mining Development Legislators on why ASMs were being harassed by the Police for their hammermills, Bulawayo Provincial Mining Director Mr Farayi Ngulube said the portability of Hammermills has had miners breaching an SI that requires that processing plant should be commissioned before use.

“The only problem with a Hammermill is its quite handy, its portable, it can be installed and uninstalled in a short space of time even in a confined area. So it is in breach of a statutory instrument that requires that a processing plant should be commissioned before use. So that’s the only problem… The law says it should only be used after commissioning in accordance with the site of works plan. So those procedures are not being followed because the hammermill can be moved at a whim so that’s the complication. But the covers hammermills like any other processing equipment,” Ngulube articulated.

The Portfolio Committee on Mines and Mining Development is currently holding Capacity Building Workshop on the Mines and Minerals Amendment Bill for the Portfolio Committee on Mines and Mining Development and has announced dates for public consultations that commence next week.

The Edmond Mkaratigwa-led committee will embark on two-week working visits across mining areas as the country looks to make history furthermore enact a new bill that will fully represent the needs of the mining community.

In an interview with Mining Zimbabwe, Hon Mkaratigwa said there were no limitations to any interested parties.

“We hope by this pronouncement we are going to see a lot of stakeholders attending, and we have no limitations. Everyone who is interested or have views they want to contribute or are affected by mining in one way or another is welcome to attend,” Mkaratigwa said.