Mining ZimbabweLatest Mining News, Policy and Industry Updates

The Zimbabwean government last week approved two new mining agreements with two companies targeting gold and coal bed-methane production.

Information, Publicity and Broadcasting Services Minister, Monica Mutsvangwa said the gold mining project involved Bravura Zimbabwe while the coal bed-methane venture is with an Australian company called Jacqueline Resources (Pvt).

Both projects are expected to aid government ambitious agenda towards attainment of a US$12 billion mining industry by 2023.

“The Bravura agreement will see the State granting a concession in the Fort Rixon area to Bravura,” Mutsvangwa said.

Bravura, which is expected to carry out exploration, exploitation and processing of gold and allied minerals, is expected to have an 80 percent stake in the venture and government 20.

“An operating committee will also be set up for the development and exploitation programme, whose composition shall be defined in the Operating Agreement,” the minister said.

Regarding the coal bed methane project with Jacqueline Resources, the two parties are expected to sign a memorandum of understanding covering among others profit sharing, appointment of key project personnel; and ownership of the project intellectual property rights.
“The joint venture project and production licence shall run for 20 years with an option for renewal upon expiry of the period,” Mutsvangwa said.

“A management committee comprising equal representation from both parties shall be established to oversee the finalization of the Exploration programme, the grant of title in respect of the project area, and the negotiation and execution of the joint venture agreement.”

NewZiana

Zimbabwe Consolidated Diamond Company’s (ZCDC) Chief Executive Officer, Mark Mabhudhu has been crowned Eastern Region Megafest CEO of the year Platinum award for his outstanding business leadership.

Mabhudhu was honoured for his innovative leadership style -supreme business excellence and high standards of ethical conduct, integrity, civic and social responsibility.

The Megafest Business Awards ceremony was held at Golden Peacock Hotel in Mutare recently where various Manicaland- based companies and executives were recognized for their contributions to the development of the region.

Mabhudhu has over 28 years of experience in the mining industry locally and internationally.

Mabhudhu started his career in 1990 at Rio Tinto Cam Dump Gold Retreatment Plant as a metallurgical student on attachment where he performed metallurgical test-work and material balance schemes.

He also had an opportunity to familiarize with the Empress Nickel Refinery and learnt the entire business value chain of the operations.

He later joined Lomagundi /Alaska Smelting and Refinery (Zimbabwe Mining Development Corporation), again on attachment.
In 1993, he was employed by Auridiam Zimbabwe (Pvt.) Ltd – River Ranch Diamond Mine for three years where he designed and built, commissioned and optimized the plant.

Between 1996-1999, he moved to BHP Zimbabwe (Pty) Ltd – Hartley Platinum Mine as a Process Metallurgical Engineer where he built and commissioned the Hartley Platinum Complex including the Concentrator plant, Smelter and Refinery plants, optimized the Concentrator plant and ramped production to full capacity.

He recruited, trained and developed plant personnel across the plant operations. He rose through the ranks to plant superintendent level.

He then joined Debswana Diamond Mining Company – Jwaneng Mine in 1999 – April 2009 where he built, commissioned and optimised the state-of-the-art diamond processing and recovery plant.

While at Jwaneng Mine, he obtained full understanding of the entire value chain into diamond valuation, as well as the cutting and polishing industry.

He rose through the ranks from mineral process engineer to the technical process manager and finally strategy executive of the organization.
Mabhudhu was appointed the inaugural CEO of PAASOL Resources Zimbabwe (Pty) Ltd in August 2009-2010 and ratified by the Board of Directors to provide leadership and direction of this start-up organization.

In 2010, he moved to Marange Resources (Pvt) Ltd. where he rose through the ranks to become acting CEO between 2014–2015.
In 2018, he went on to join Vast Resources PLC – Diamond Business as a Consultant/Executive Director in charge of directing and leading the firm’s aspirations of becoming a prominent mining house in the country as well as internationally with particular focus on diamonds and setting up the Zimbabwe mining operations.

In September 2020, Mabhudhu re-joined ZCDC as the substantive Chief Executive Officer with the sole responsibility of repositioning the diamond company into a profit-making entity in line with shareholder and stakeholder expectations.

Mabhudhu has a BSc (Hons) Engineering – Metallurgical from the University of Zimbabwe in 1992 and was awarded a Book Prize (Top Student), Postgraduate Diploma in Management Studies from the Buckinghamshire Chilten’s University College in UK (2000) and a Masters in Business Administration (MBA) at the same University in 2001 where he was also awarded Top Student Prize. He has a Master of Philosophy in Information and Knowledge Management (MIKM) from the University of Stellenbosch (RSA) (2008) and is currently undertaking a Doctoral study in Business Administration (DBA) with the University of Pretoria’s Gibs Business School (Thesis final stage).

Masvingo Mirror

Hwange residents and safari operators have come out guns blazing accusing Afrochine of double standards after the Chinese company began exploring the Deka Safari area while still conducting its Environmental Impact Assessment (EIA).

According to sources privy to the development, the company has reportedly commenced operations riding on an expired EIA which had been used when they were granted a concession in the Hwange National Park.

The government subsequently reversed the decision following pressure from residents, safari operators, environment activists and conservationists.

“The company has since begun exploration of coal in the Deka Safari area with major equipment having moved on site. The company is riding on the EIA which they did at the time they got to the previous concession which of course expired and meant that the company was supposed to conduct a new one targeting the latest place as the impacts may differ from area to area. Afrochine did not do that but instead went on to conduct exploration and the same time doing an EIA. I would say they are probably in a hurry to start mining given that they recently fired up their coking plant in Lukosi which in turn is supposed to feed the smelters in Selous,” said the source.

Greater Whange Residents Trust coordinator, Fidelis Chima said they were shocked to learn that the company was already on the ground conducting exploration works.

“Greater Whange Residents Trust is surprised that Afrochine has started exploration work before the EIA process has been completed. They sent questionnaires for the mining project and before being issued with the EIA certificate they are already on the site,” said Chima.

Association for Tourism Hwange (ATH) Chairperson, Elisabeth Pasalk said any mining activities would disturb the ecosystem.

“We do hereby object to the establishment of any form of mining activities within the proposed area or in any area close to, within the buffer zone of or connected to Zimbabwe National Parks and safari areas. The area proposed represents crucial wildlife habitat. Mining activities within the area will disturb and displace wildlife, modify animal behaviour and pose a threat to the Zimbabwean citizens living in Hwange town and in the communal lands nearby since the wildlife in the area will have no choice but to escape to new spaces.”

“Mining activities generate vibrational energy that propagates many kilometres along the surface while also penetrating at depths of several kilometres. If you think of the surface of the earth as a trampoline, high-energy ripples are propagating outward from the source along the surface. The vibrations caused by drilling and the noise generated by trucks, provoke the elephants and other wildlife in the area to fear danger and escape to areas where will come into contact with humans and cause the loss of life,” she said.

In a letter of objection seen by CITE to SustiGlobal Consulting and copied President Mnangagwa and Mines minister, Winstone Chitando, Pasalk who operates a safari queried why the government was insisting on coal extraction when the district was one of the best solar radiation zones with the potential to be harnessed into clean energy.

“The over utilization of fossil fuels also contributes to global warming. There is no need to mine coal when there are cleaner renewable sources of energy. Zimbabwe should lead renewable energy projects, which would put us in good stead in terms of reputation as a destination that cares about conservation of the environment, as opposed to relying on open cast coal mining.

“The Hwange/Victoria Falls area is classed as one of the world’s best solar irradiation areas in the world with potential for harnessing solar power in an innovative, environmentally conscious manner. Why then is the government of Zimbabwe continuing to engage in coal mining activities? From a business and economic perspective, the issuance of Special Grant No.8477 indicates a blatant disregard of the investment that safari operators and activity providers have made in the region and tells us that our efforts are in vain and that the livelihoods of those whose careers rely on tourism are of no significance.”

It is understood that on Monday officials from the President’s Office and Cabinet (OPC), Zimparks, government departments and security sector visited concessions given to Afrochine and Zimbabwe Zhongxin Coking Company (ZZCC) to ascertain the obtaining situation.

Meanwhile, residents have petitioned Afrochine consultant, SustiGlobal Consultancy seeking to stop it from conducting mining activities in the area.

Efforts to get a comment from the chief managing consultant, Oliver Mutasa were futile as he was unreachable.

Source: Centre for Innovation and Technology

ZIMBABWE’S biggest car battery maker, Chloride Zimbabwe, says plans to draft lithium battery production technology into its operations have kicked off to prepare the firm for a future without petroleum-powered cars.

General manager Kudzai Pasipanodya told businessdigest this week that for now, Chloride, a unit of the Zimbabwe Stock Exchange-listed ART Corporation, was planning for the long-term when lithium-battery-powered electric vehicles (EVs) swamp the domestic market.

There has been a huge global push to eliminate air-polluting, fossil-fuel-powered motor vehicles, the biggest consumers of Chroride’s batteries.

Pasipanodya spoke as traditional car battery makers continued to be confronted by market changes demanding strategic planning.

To underline the gravity of challenges that confront traditional car battery producers, lithium battery car maker Northvolt last week raised US$2,75 billion in fresh equity to expand a factory under construction in Sweden to match surging  demand  for EVs.

“Work on exploring how best we can migrate to lithium technology has started,” Pasipanodya said, speaking exclusively to businessdigest. “This is a long-term project which we think by the time there is general use of the electric vehicles in our market, it would be economical to produce the lithium battery locally.

“We will start by assembling the battery before going into full-time manufacturing. We do not have the capacity as of now, but certainly we are watching market developments whilst looking at what is required to cease the opportunity when it becomes economical to produce locally.

Analysts have cautioned African producers of lithium, including Zimbabwe, not to wait until EVs increase their presence and then make moves to shift their product lines.

There were already indications that EVs would make inroads into the domestic markets earlier than expected after Agilitee Africa, a South African EVs maker, acquired 90% shareholding in a Zimbabwean dealership in May.

The deal is set to create about 700 jobs when a plant is established in Harare.

But should it enter the lithium market in future, Chloride would leverage on its strategic positioning close to some of Africa’s most promising lithium mines including Prospect Resources’ Arcadia near Harare.

The Australia Stock Exchange-listed miner said last week its pilot plant was over 90% complete, as work on kick starting production at Arcadia progressed.

London-headquartered Premium has also been developing a lithium operation near Bulawayo, while significant finds have been made on dump sites at the mothballed Kamativi Tin Mine near Hwange.

The state-run Zimbabwe Mining Development Corporation has indicated that it would scout for partners to develop the asset.

Meanwhile, Pasipanodya said Chloride would be ramping up production at its operation to 600 000 units per annum, from the current 450 000.

“Annual production stands at 450 000 units and we are already upgrading the plant to produce 600 000 units annually. Since we embarked on improving production capacity, the market has responded well. The market share has grown from 55% 10 years ago to the current 80%,” he said.

“We export 40% of our production capacity into regional markets, that is Zambia, Malawi and Mozambique to be more specific. The Exide brand is already dominant in the Zambian and Malawian markets and we are currently developing the Mozambican market. Emphasis has been on manufacturing a quality product that competes with any global brand. We have invested in communicating the benefits of using our product to the market.

“Chloride Zimbabwe introduced solar batteries in 2014 and the product has been doing well in the targeted market segment. However, there is a market segment which prefers Gel batteries. During the first month of lockdown, we lost 90% of local sales volume, but we recovered after we were declared an essential service. The sales volume recovered to around 80 % of normal sales.”

Zimbabwe Independent 

WORKERS at Golden Valley Mine in Kadoma Wednesday staged a protest accusing its management of deploying security to use “discriminatory” full body scan on junior workers as they fear it will cause health challenges.

The Australian-owned mine is involved in gold mining.

He added workers were forced this week forced to protest as the mine’s management was unwilling to remove the machine, installed to stop gold leakages from employees working underground.

“It’s true, the workers protested against the discriminatory use of a full body scan on lower-level employees at Golden Valley Mine. This protest could have been avoided if relevant stakeholders had paid attention to our concerns’ raised months ago,” said Chinhema.

“As ZDAMWU, we asked the Zimbabwe Radiation Authority on the safety of the machines, and we did not get a satisfactory answer. We wrote to the government’s chief engineer about the issue last March, but we have not received any response. We went to ZELA (Zimbabwe Environmental Legal Association), and again, there was no response.”

The trade unionist added; “We wrote to NSSA (National Social Security Authority), and there was no response. Workers have been left with no choice but to protest.

“This, then means, the management knew the scanning machine will harm people above all what’s surprising is the scanner will only be used on low grade workers while management is exempted.

“This is discrimination. We cannot say only low-grade workers are thieves. It is an insult when the actual thieves are those who are in managerial positions. We say our safety is out right! We can’t risk our lives at all.”

Last March, (ZDAMWU) wrote a letter to the government’s mining chief engineer arguing the scanning machine would cause health challenges to the workers as this had not been proved otherwise.

“Reports from our members are that the authorities installed a full body scan machine for workers in grade 1-10 when entering and leaving the underground shaft,” Chinhema wrote then to government’s mining chief engineer.

“We are worried that safety concerns have not been fully addressed and if not attended to it can degenerate into serious industrial disharmony. We believe the management has not fully explained to the satisfaction of workers the health implications associated with the use of such machine.

“Through instructions from our members, we are engaging you as a responsible authority in terms of mining (Mining and Safety Regulations) Statutory Instrument 109 of 1990 for a full technical report that will clear all the fears workers, and others have.

“In order to avoid any problems, we suggest you instruct the mine to delay the use of the full body scan machine until all fears are cleared.”

The authority has also not responded.

Meanwhile, NewZimbabwe.com tried to seek comment from Golden Valley Mine through its Human Resources Manager Charles Msimanga, who declined to comment.

THE Environmental Management Agency (EMA) has issued Musasa Mining Syndicate in Shurugwi with a seven-day ultimatum to rehabilitate the environment after the company started operating without the mandatory environmental impact assessment certificate.

EMA Midlands provincial spokesperson Oswald Ndlovu said the mine was carrying out illegal alluvial gold mining near Mutevekwi River located just outside the mining town.

“The miner was issued with a level 14 ticket and ordered to rehabilitate the area within seven days,” Ndlovu said yesterday.

“As EMA, we will be monitoring the situation to ensure compliance with the environmental protection order.”

Over the years, both illegal and legal mining activities along Mutevekwi River have resulted in the blocking of the river with farmers downstream failing to draw water for irrigation purposes.

Mining activities in the mining town have also left severe environmental degradation with chemicals used by miners such as mercury and cyanide polluting water bodies.

Some villagers have been complaining of losing their domestic animals to poisonous substances.

Farmer-miner conflicts have also been on the increase in Shurugwi with stakeholders calling for laws that harmonise the two sectors.

NewsDay

FIVE years ago, Mr Douglas Msipa, the son of the late national hero, Dr Cephas Msipa abandoned artisanal mining/ukukorokoza for farming.

The decision baffled many people who believed there was more money in artisanal mining.

Furthermore, his choice of specialisation, garlic, appeared to be a poor move as many believed the market was limited.

Mr Msipa had a torrid time explaining the unpredictable nature of ukukorokoza versus the more stable and relatively stress-free life of a farmer.

Finally he decided to act and show his critics what he meant.

Mr Msipa now employs 50 people and is one of the renowned garlic farmers in the Midlands Province making more than US$5 000 per month from local sales.

Mr Msipa said he is planning to increase land to be put under garlic and other associated crops.

“I have 20 permanent employees and 30 casuals. I specialise in labour intensive crops. At the planting stage, we need almost 100 employees every day. Five years ago, I started garlic farming and stopped Chikorokoza,” he said.

Mr Msipa said garlic has up to a year of shelf life.

“We get regular monthly income of around US$5 000 from local sales,” he said.

Mr Msipa encouraged local farmers to grow garlic, ginger and turmeric saying they are good cash crops.

Minister of State in the Office of the President and Cabinet in charge of Monitoring the Implementation of Special Agricultural and related programmes, Davis Marapira tours Mr Douglas Msipa’s Cheshire Farm in Gweru recently

“Instead of buying chemical dip, garlic can keep ticks away from all your animals eliminating tick-borne diseases,” he said.

This season, Mr Msipa has garlic on 10ha and is expecting 70 tonnes.

He said he started growing ginger and turmeric last year adding that plans are under way to put value addition infrastructure at the farm.

Mr Msipa said he was producing for both local and export markets thereby saving the country the much needed foreign currency which was spent on importing garlic, ginger and turmeric.

“My advice to farmers is to start small on the high-value crops which can be grown anywhere in Zimbabwe,” he said.

Mr Msipa, who is a beneficiary of the successful land reform programme, hosted the Minister of State in the Office of the President and Cabinet in charge of Monitoring the Implementation of Special Agricultural and related programmes, Davis Marapira at his Cheshire Farm along Matobo Road in Gweru recently.

Minister Marapira urged land reform beneficiaries to fully utilise their land to assist the country to bring in the much needed foreign currency.

He said increased productivity on farms would help the country to get foreign currency and create employment.

The minister toured the 10ha of garlic field, one-hectare ginger, half ha of turmeric field under irrigation from Which Mr Msipa expects to harvest 70 tonnes garlic, 20 tonnes ginger and five tonnes turmeric.

Minister Marapira commended Mr Msipa for the massive irrigation project and encouraged other farmers to emulate him.

“Production at farms helps generate foreign currency and create employment,” said Minister Marapira

He urged farmers to venture into growing cash crops such as garlic, ginger and turmeric.

“Value addition is important because farmers realise more from their produce while also creating employment,” said Minister Marapira.

The Chronicle

More than 3 500 jobs have been created since the establishment of Kuvimba Mining House last year.

The Government has a controlling stake in the mining company, which has assets in many parts of the country.

Local contractors are benefiting through opportunities created by increased activity.

Kuvimba has three operating gold mines — Freda Rebecca, Shamva and Jena Gold Mine.

It has a stake in Bindura Nickel Corporation (BNC), the Darwendale Platinum Project (Great Dyke Investments) and Zim Alloys Limited.

Speaking after Freda Rebecca broke a 20-year production record by producing 300kg of gold in May, Kuvimba Mining House chief operating officer Mr Cobus Bronn said within a space of a year the mining giant had managed to employ 3 518 workers.

BNC now has 1125 workers, followed by Shamva Gold Mine with 890, while Freda Rebecca and Jena Mine have 800 and 703 employees, respectively, all of which were taken on board in the past year.

Overall, it plans to employ 20 000 in the short to medium term.

“The number of employees is expected to significantly increase as more mines are brought to operations soon,” said Mr Bronn.

“Kuvimba Mining House’s vision is to create sustainable growth for Zimbabweans through safe and responsible mining.

“This vision is achieved by instilling the following core values, namely integrity, being a good corporate citizen, accountability and fostering good team work.”

The resuscitation of mines, he added, had brought life in Bindura, Shamva and Silobela.

“The social and economic impact that the companies have in the respective areas where they are located cannot be overstated,” he said.

“Kuvimba has an approved plan to roll out an extensive exploration programme to explore the non-operating gold assets in order to determine the viability of recommissioning them.

“This is expected to be rolled out in the second half of 2021. Collectively, these non-operating mines, which have been neglected for a while, have the potential to produce in the excess of 1 200kg of gold per year and employ more thousands of people.”

At BNC, Kuvimba has finished the shaft deepening process, which allows the firm to extend mine life by seven years, while Zim Alloys is now out of judicial management.

All Zim Alloys creditors have been paid and production is expected to start before September this year.

The Government holds 65 percent in Kuvimba, while local and international investors hold the remainder.

This week, the company is expected to declare a dividend after posting impressive results in the last financial year.

Kuvimba’s shareholding has been structured in a way that benefits about five special interest groups identified by the Government, and these include the youths, women and war veterans, depositors and pensioners who suffered losses during the currency reforms of 2019.

The Sunday Mail

ZESA Holdings said the power cuts being experienced in the country are due to a technical fault at Hwange Thermal Power Station.

Zimbabwe’s power supply has vastly improved, but most parts of the country have experienced prolonged outages in the past few days.

In a statement on Friday, ZESA Holdings said efforts to restore normal power supplies were underway.

“ZESA holdings would like to advise its valued customers countrywide that there is limited power supply in the national electricity grid due to a technical fault in the transmission system, leading to generation incapacitation at Hwange Power station.

“Restoration of service to optimum levels is currently underway and customers are advised to use the available power sparingly, especially during the morning peak periods of 0500 hours to 1000 hours and evening periods of 1700 hours to 2100 hours.

“Customers will be updated as the situation improves.”

Contacted to give further explanation, ZESA spokesperson Ms Prisca Utete could not shed more light.

“I am not in a position to comment on that issue because my office does not allow me to do telephone interviews,” she said.

The Sunday Mail