Mining ZimbabweLatest Mining News, Policy and Industry Updates

Despite contributing over 60% of Zimbabwe’s export earnings and approximately 12% to GDP, the Ministry of Mines and Mining Development has once again received disproportionately low funding in the 2026 national budget, raising serious concerns about the financial commitment to harnessing the mineral sector for economic transformation, Mining Zimbabwe can report.

By Rudairo Mapuranga

The 2026 National Budget, presented by Finance Minister Mthuli Ncube, has allocated ZiG 789 million (approximately US$26.3 million) to the Ministry of Mines and Mining Development, representing a mere 1.05% of the total budget. This allocation comes despite the mining sector being poised for a strong rebound in 2026, with the Chamber of Mines projecting exports of up to US$6.5 billion.

The disparity in funding becomes stark when comparing the mining allocation to other ministries. The Ministry of Health received a colossal ZiG 47.4 billion (approximately US$1.58 billion), while Primary and Secondary Education was allocated ZiG 30.4 billion (approximately US$1.01 billion). These sectors are undoubtedly vital, but the scale of the difference is difficult to reconcile with mining’s role as the primary foreign exchange earner.

Even the Ministry of Transport and Infrastructure, tasked with critical road rehabilitation, was allocated ZiG 4.6 billion (approximately US$153.3 million). Meanwhile, the Ministry of Defence, while important for national security, continues to command a significant portion of the budget, with the broader security sector receiving a staggering ZiG 46.8 billion (approximately US$1.56 billion).

Further scrutiny reveals allocations to ministries whose immediate economic impact is less tangible. The newly established Ministry of Skills Audit and Development was allocated ZiG 229 million (approximately US$7.63 million). While understanding the nation’s skills base is important, many question the necessity of a fully funded ministry for this task at a time when core economic engines may be in need of more resources.

Within its constrained budget, the Ministry of Mines must address multiple critical failures. The modernisation of the mining cadastre system remains underfunded, perpetuating delays and a lack of transparency in title management. The ministry also lacks sufficient vehicles for mine inspections, hampering efforts to enforce responsible mining practices and environmental regulations. Furthermore, inadequate survey capacity leads to bottlenecks in the release of mining titles, creating uncertainty.

Perhaps the most significant casualty of this underfunding is exploration. Zimbabwe’s geological potential is vastly under-explored, and the government has no capacity to fund a meaningful national exploration program. To properly identify new mineral deposits, the ministry requires funding to support the exploration of at least 100,000 hectares annually, a goal that is impossible with the current budget of US$26.3 million. This lack of exploration directly limits the pipeline of new mines and future investment, effectively mortgaging the country’s long-term economic prospects.

The consequences of underfunding the Ministry of Mines extend beyond bureaucratic inefficiencies. They directly translate into lost investment opportunities, reduced royalty collections from inadequate monitoring, and environmental damage from insufficient oversight.

As Zimbabwe pursues its Vision 2030, prioritising investment in the institutions that manage the country’s most valuable economic assets is not just prudent, it is essential. The government must align its budgetary allocations with its economic rhetoric. Increasing the mining ministry’s budget to a level commensurate with its contribution is a critical first step in signalling a genuine commitment to sustainable economic transformation.

The Zimbabwean government will launch the “Responsible Mining Initiative Part 2” by the end of this year, a policy framework that will introduce some of the sector’s toughest enforcement measures to date, Mining Zimbabwe can report.

By Rudairo Mapuranga

The announcement was made by the Minister of Mines and Mining Development, Hon Winston Chitando, at the State of the Mining Industry Report event. Minister Chitando unveiled that the new initiative will enforce a strict zero-tolerance policy towards environmental damage, with the most severe penalty being the revocation of operating licenses for violators. He explicitly stated that the document will “entail loss of title for those who damage the environment,” sending a clear warning to all industry operators.

The Minister emphasised that the initiative is designed to rigorously address the “totally unacceptable” level of degradation in certain mining areas and will serve as a firm alert on non-compliance with existing laws. This new framework represents a significant shift from guidance to mandatory enforcement, placing a paramount emphasis on protecting the environment and improving the industry’s social license to operate. The government is set to communicate the official launch date to the Chamber of Mines and other industry representatives by the end of the week, with a strong urging for full attendance to understand the gravity of the new measures.

This groundbreaking policy introduces an unprecedented level of risk for mining entities that fail to adhere to environmental standards. The threat of losing one’s mining title addresses a critical gap in previous enforcement mechanisms, which often lacked the teeth to deter powerful and recalcitrant operators. The initiative underscores the government’s commitment to ensuring that the economic benefits of mining are not derived at the cost of ecological destruction and community well-being. By making the security of a mining lease contingent upon exemplary environmental stewardship, the government aims to catalyse a fundamental change in industry behaviour.

The Responsible Mining Initiative Part 2 dovetails with broader legal reforms, including the pending Mines and Minerals Bill, which also seeks to modernise the country’s mining legislation and strengthen environmental protections. This comprehensive approach signals a coordinated effort to bring clarity and higher standards to the sector. The government’s stance acknowledges that the long-term viability of Zimbabwe’s mining industry, which contributes over 60% of the country’s export earnings, is inextricably linked to its sustainability and social responsibility. The success of this bold initiative will hinge on its consistent and impartial implementation, a process that the nation and its communities will be watching with keen interest as the government prepares to unveil the full document.

Dinson Iron and Steel Company (DISCO) has strengthened its regional footprint after securing certification from the South African Bureau of Standards (SABS) for its reinforcing steel bars, while simultaneously rolling out new products that include steel balls and wire rods, Mining Zimbabwe can report.

By Ryan Chigoche

These milestones come shortly after the company resumed operations on 3 November 2025, following a scheduled shutdown for maintenance and system upgrades. The successful restart set the stage for DISCO to accelerate both product diversification and quality assurance initiatives.

Together, the SABS certification and the introduction of new steel products mark a significant advancement in Dinson’s growth trajectory, reinforcing its position as an emerging industrial hub in Zimbabwe and a key contributor to expanding value-added steel manufacturing across the region.

The SABS certification confirms that Dinson’s steel rebars comply with the South African National Standards (SANS 920:2011) for concrete reinforcement—an internationally recognised benchmark for safety, performance, and manufacturing quality.

The approval places DISCO among a select group of regional steel producers whose products meet stringent global technical standards, boosting confidence among buyers and regional markets.

Commenting on this milestone, DISCO CEO Benson Xu said the certifications reflect its commitment to consistent product quality, robust internal systems, continuous improvement, and adherence to international manufacturing protocols.

“These internationally recognised certifications affirm our commitment to consistent product quality and reliability, robust internal systems and continuous improvement, enhanced customer satisfaction and stakeholder confidence, and compliance with global standards in manufacturing and management.

“For our stakeholders, these certifications serve as a guarantee that Dinson’s steel products are produced under stringent quality controls and that our operations meet the highest benchmarks of professionalism and accountability. This milestone strengthens our position as a trusted industrial partner in Zimbabwe and across the region,” Xu said.

The company has also secured major endorsements from the Standards Association of Zimbabwe (SAZ). Dinson is certified under ISO 9001:2015 for its management systems, while its steel bars have been tested and approved to carry the SAZ Standards Mark. According to the company, both SABS and SAZ assessments are conducted impartially and independently, in line with global best practices.

Meanwhile, the certifications coincide with the company’s expansion into new product lines. Dinson has commenced production of steel balls and wire rods as part of its growth and value-chain development strategy.

Management says the additions will support Zimbabwe’s broader industrialisation agenda by creating opportunities for downstream players to invest in value-added steel products, thereby strengthening the domestic and regional steel ecosystem.

Hwange Colliery Company Limited (HCCL) has highlighted the need for policy-level measures to ensure local suppliers and contractors are meaningfully involved in major mining projects, Mining Zimbabwe can report.

By Ryan Chigoche

This call comes amid an influx of large-scale projects, particularly led by Chinese firms. While these investments have brought billions into Zimbabwe’s economy, a significant portion of spending has gone toward imported machinery, equipment, and services, leaving domestic suppliers with limited opportunities.

Some listed local mining companies have observed that foreign contractors often purchase imported items even when local alternatives exist. Hwange Colliery CEO Wilson Gambiza says this is not a reflection of local incapacity but an issue that needs attention at the policy level.

In an interview with Mining Zimbabwe, Gambiza acknowledged the expertise of Chinese contractors while emphasizing the importance of including domestic businesses.

“We find that with the influx of Asian investors, the Chinese, they have clinched most of the contracts because they have the expertise of how to build or to construct, to address the needs of the communities,” Gambiza said.

“But I think the issue is related to where the materials are coming from. I would not think it’s an issue which portrays or reflects failure by the locals to supply enough. But I think it’s an issue which needs to be addressed at the policy level, whereby the government needs to put restrictions or legislative measures which can also allow participation of the locals in some of these construction projects. Because with the current scenario, you will find the bulk of the stuff, the Chinese contractors they are bringing it from China. So literally it means they are promoting their home industries.”

Gambiza’s remarks underscore the gap between the potential of local contractors and their current involvement in high-value mining projects.

Imported equipment dominates local mining

The Chamber of Mines reports that around US$2.1 billion of the US$5.4 billion revenue generated in 2023 was spent on imported machinery, equipment, and services, with local manufacturing contributing just 15%.

ZIDA data for Q1 2025 shows that US$2.65 billion of the projected US$4.75 billion investment in the mining sector went toward imported capital equipment, indicating room for policies that encourage domestic sourcing.

“I think there should be a way whereby the government can also try to strike a balance in such a manner that even the locals also participate, and they are also promoted, and also they can participate in the construction projects in the mining industry,” Gambiza added.

Local contractors have proven their capacity

Zimbabwean firms have demonstrated their ability to handle complex mining projects. Mimosa Mining Company’s US$75 million Tailings Storage Facility (TSF-4) is an example: local contractors managed the construction while South African firm SRK handled design. Imported materials were limited to specialised items, keeping most costs in-country.

This shows that with careful planning, procurement, and supportive policies, local contractors can deliver projects to international standards.

Hwange Colliery’s underground project

Hwange Colliery is advancing a US$60 million underground mining venture in partnership with a Chinese firm. While foreign expertise and financing underpin the project, local companies such as Dinson Iron and Steel are involved in specific components.

“We have got another joint venture that we have with Dinson, in which we want to extract the Number Three underground pillars,” Gambiza said.

This demonstrates that even in technically complex operations, local firms can play a significant role. Expanding domestic participation ensures foreign investment benefits Zimbabwean industry.

Currently, Zimbabwe lacks strict local content requirements, and enforcement is inconsistent. Policymakers could consider minimum local procurement or skills transfer thresholds, drawing lessons from South Africa and Botswana. Such measures would encourage foreign investors to source locally, reduce foreign exchange outflows, and strengthen domestic industrial participation.

The rise in foreign investment presents both opportunities and challenges. Gambiza emphasises that without deliberate policy attention, mining inflows may primarily support imports rather than domestic growth.

Success stories like Mimosa’s TSF-4 project, Hwange’s underground operations, and joint ventures with local firms such as Dinson show that Zimbabwean contractors are capable; the key is ensuring policy frameworks allow them to contribute effectively.

In an effort to ensure the mining industry has solid, data-driven research on how communities perceive their operations, the Minister of Mines and Mining Development, Hon Winston Chitando, has directed the Chamber of Mines to conduct a parallel report to its annual State of the Mining Industry survey, this one focusing entirely on the community perspective, Mining Zimbabwe can report.

By Rudairo Mapuranga

This landmark instruction, delivered at the State of the Mining Industry Report 2026 event on Wednesday, signals a fundamental shift in the government’s approach, placing a mining company’s social licence to operate on par with its economic and technical performance.

Minister Chitando’s mandate challenges the industry to move beyond internal assessments and actively listen to the voices of those most affected by mining activities.

He emphasised that this proposed “state of the community survey” is critical for diagnosing issues, holding poor performers accountable, and ultimately safeguarding the entire sector’s reputation.

The initiative represents a proactive move to bridge the growing trust gap between powerful mining corporations and local populations, ensuring that the wealth extracted from the earth translates into tangible benefits for those on the surface.

Minister Chitando structured his remarks around six pivotal comments that collectively frame a new expectations landscape for Zimbabwe’s mining sector. While acknowledging the Chamber’s organisational excellence and the importance of its annual survey, the Minister quickly pivoted to what he termed “the spirit behind the survey” and the critical question of “what happens after?”

His most significant directive came in his sixth and final point, where he explicitly called for a fundamental expansion of the Chamber’s reporting framework: “It’s very good that you’ve done this to take up the industry survey. But I think at some stage, let’s also have a state of the community survey on how they are affected by mining… Very important that at some stage, we also have the survey… to see what the communities out there think of mining companies.”

Minister Chitando introduced a crucial concept of collective industry responsibility, warning mining companies against complacency: “If you are company A and you believe you are a good social citizen, what is being done by company B, which is not a good social citizen, will change what you are doing as company A… No, it affects you because the social licence is not only local, but it is also national and international.”

This perspective fundamentally challenges the mining industry to evolve from isolated corporate social responsibility projects to establishing industry-wide standards that protect the sector’s collective reputation and social licence.

Zimbabwe’s mining sector stands as a critical economic pillar, with 2024 mineral exports reaching approximately US$6.1 billion, primarily anchored on platinum group metals (PGMs), gold, lithium, diamonds, and chrome. The industry directly employs over 45,000 people, with thousands more engaged in artisanal and small-scale mining operations that supplied 65% of Zimbabwe’s record 36.48 tonnes of gold production in 2024.

The government projects continued growth of 5.9% in 2026, supported by firm global gold prices and strong performance in key mineral sub-sectors. This robust performance makes mining indispensable to Zimbabwe’s economic trajectory, but also underscores why ensuring communities share in these benefits is both an economic and moral imperative.

Zimbabwe’s mining regulatory environment is poised for significant transformation with the pending Mines and Minerals Bill, published in the Government Gazette on 25 June 2025. This legislation aims to replace the outdated Mines and Minerals Act enacted in 1961, with several provisions directly addressing community and environmental concerns.

The proposed bill includes strengthened environmental provisions, requiring “holders of mining rights to work their claims rather than allowing them to preserve their title by paying annual fees” and mandating that “miners participate in funds and make other provisions to meet the cost of restoring the environment when their mining operations come to an end.”

The bill also introduces the concept of “strategic minerals” with special conditions negotiated between the Minister and the State. This classification, likely encompassing lithium and other critical minerals, reflects both the economic importance and the need for heightened responsibility in extracting these resources.

The global mining industry is increasingly recognising that community engagement isn’t optional but fundamental to sustainable operations. The Initiative for Responsible Mining Assurance (IRMA) exemplifies this shift, founded on the belief that “every individual impacted by mining should have a say in how responsible mining is defined and measured.”

This approach acknowledges what industry leaders have increasingly recognised: mining’s social licence depends on meaningful community participation throughout the mining lifecycle, from exploration to closure and rehabilitation.

The International Council on Mining and Metals (ICMM) frames responsible mining as practices that “prioritise environmental stewardship, social responsibility, and ethical governance throughout the entire mining lifecycle.” This includes “avoiding, minimising and mitigating environmental impacts, respecting human rights, ensuring worker safety, engaging with communities, and fostering long-term social and economic development.”

Modern mining operations in other jurisdictions demonstrate how community engagement transforms potential conflicts into partnerships. As the National Mining Association notes, “Responsible U.S. mining means protecting land, water and wildlife, and ensuring that operations have a positive impact on the people who live and work nearby.”

Under the Second Republic, Zimbabwe has increasingly emphasised local beneficiation and value addition as central to its mining strategy. As Minister Chitando stated in another address, “Demand for critical minerals is rising, and we are open to partnerships interested in extraction and local value addition and beneficiation of these minerals.”

The 2026 Budget Strategy Paper reinforces this commitment, noting that “Priority will also be on promoting local value addition and beneficiation through upgrading local processing and refining capacity of minerals into semi-finished and finished products.” This strategic shift aims to foster industrial hubs and develop value chains that maximise domestic economic benefits while reducing reliance on raw mineral exports.

Minister Chitando has highlighted that “under the Second Republic, Zimbabwe encourages sustainable mining practices,” noting that in 2024, President Mnangagwa launched phase one of the responsible mining initiative, which “entails that all mining operations should abide by the laws of the country, particularly those related to the environment and social responsibility.”

The Sabi Star lithium project in Manicaland offers a compelling case study in how modern mining can potentially benefit local communities. By 2026, the project is projected to create between 1,300 and 2,500 direct jobs, representing a 35% growth in local employment. Beyond employment, the operation has stimulated major upgrades in “roads, energy grid, and water systems benefiting both mining and surrounding agricultural communities.”

The project implements advanced environmental practices, including water recycling technologies that reduce water use by 30% and tailings management that reduces waste by 40% compared to conventional approaches. These practices demonstrate how modern mining operations can minimise their environmental footprint while maintaining economic viability.

The integration of satellite and AI monitoring technologies enables “precision mapping of the lithium-bearing zones, real-time surveillance, and resource optimisation,” representing the kind of technological innovation that can make mining more efficient and environmentally responsible.

Minister Chitando’s call for a “state of the community survey” represents more than a simple request for additional data; it signals a fundamental reorientation of how Zimbabwe’s government conceptualises mining success. No longer measured solely by production volumes and export earnings, the industry’s performance must now include community well-being and social acceptance as core metrics.

The Chamber of Mines faces a critical decision: embrace this challenge as an opportunity to strengthen the sector’s social licence and long-term sustainability, or resist and risk increasing regulatory pressure and community opposition. The Minister’s closing reassurance that “we are going to engage to ensure that we have a mining environment which is the right medium for the success of the industry” suggests a partnership approach, but one with clear expectations.

For Zimbabwe’s mining sector, the path forward is clear: listen to communities, measure what matters to them, and transform operations to demonstrate that mineral wealth can coexist with community wellbeing. In doing so, Zimbabwe has the potential to become not just a “tried and tested mining jurisdiction” in economic terms, but a global leader in community-centred mineral development that other nations might emulate.

The minerals beneath Zimbabwe’s soil belong to its people; the industry that extracts them must now prove it serves those same people. Minister Chitando has issued the challenge—the Chamber’s response will shape Zimbabwe’s mining legacy for generations to come.