The President of Zimbabwe has announced the country will be shutdown from Monday 30 March 2020 to minimise the spread of the deadly Covid-19 also known as Coronavirus
see video below:
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Portnex has shut down its Zimasco Ferrochrome plant in Kwekwe after prices of the alloy fell to four-year lows on weak demand caused by the coronavirus outbreak.
The closure places at risk hundreds of jobs at one of the town’s largest employers, reflecting the local impact of a global health crisis that has disrupted economies around the world.
“The ferrochrome industry has been the most affected with ferrochrome prices coming down to shut-down levels, even lower than those of 2015. Responding to the above, most smelters have been put on care and maintenance, with Zimasco having announced its care and maintenance on the 25 March 2020. Portnex has already closed while Afrochine are operating below 50% of installed capacity,” the Chamber of Mines said.
Afrochine, a unit of Chinese stainless steel giant Tshingshan, is the largest producer, putting out 100 000 tonnes of ferrochrome at its Selous plant a year.
Apart from Afrochine, only Gweru’s Jin An is still in operation out of the country’s 13 producers, according to players in the industry.
Although Portnex officials were yet to respond to request for comment, newZWire understands from staff that they had been informed that they would continue to earn a fraction of their salaries.
China dominates global market for ferrochrome, which is the main ingredient in stainless steel production. China, like much of Europe and Asia, has suspended many steel mills due to the COVID19 outbreak. In Europe, many large stainless steel producers such as ArcelorMittal, Europe’s largest steelmaker, have halted production indefinitely.
This has driven prices to their lowest levels in years.
The coronavirus outbreak is only the latest crisis to hit Portnex operations. In December, operations were halted due to a dispute over power bills with ZESA. Electricity accounts for 29% of the production costs at the plant, while chrome ores account for 31%.
Portnex, a South African company, took over operations at Zimasco’s Western plant in 2015 on a five-year lease, which must be renewed this year. Portnex produces 200 tonnes of ferrochrome per day, taking in chrome ore from tributaries mining on Zimasco claims across the Midlands.
newZWire
Hwedza Police arrested two Police impersonators who camped at Wedza Mountain and extorted from miners claiming it was protection fee.
Nomatter Nhambirwa (23) and Beloved Gangayi (24), all of Budiriro in Harare, who were clad in police uniform before misrepresenting themselves as officers from Chikurubi Police Support Unit, were arrested after a mining syndicate alerted police in Wedza.
Mashonaland East provincial police spokesperson Inspector Tendai Mwanza confirmed the arrest.
It is reported that on March 23, the two went to Wedza Mountain, where they told a gold mining syndicate that they had been sent by their superiors to monitor them, hence they needed some money as protection fee.
The suspects, who were clad in police uniforms, demanded that each person pays US$50 and that they had pitched their tent in the mountain under the Operation Chikorokoza Chapera.
The illegal miners then negotiated for a downward payment and they agreed that each pays US$30.
The two failed to provide proof that they were police officers. Upon arrest, police recovered the uniforms and the money extorted from the syndicate.
Newsday
Internet Newspaper Bulawayo 24 has reported that President Emmerson Mnangagwa led government is contemplating imposing a 14-day lockdown in the country due to the deadly coronavirus epidemic.
More HERE
Reserve Bank of Zimbabwe Governor Mr John Mangudya has announced that the United States Dollar can now be used as legal tender until further notice.
In a statement issued yesterday night, the governor said this measure is to mitigate the effects of Covid-19 also known as the Coronavirus.
The governor also announced the Exchange rate is now fixed at 1:25 USD/ZWD. BA @25% and Bank Statutory Reserve ratio reduced by 0.5%. Winter Wheat funded up to 2,5bln.
Read the full statement below:
Pursuant to His Excellency, the President’s 23 March 2020 Address to the Nation on additional measures to mitigate the devastating impact of COVID 19 on the Zimbabwean society and the economy, government through the Reserve Bank of Zimbabwe (the Bank*) would like to advise the public that it is making it easier for the transacting public to conduct business during this difficult period by making available an option to pay using free funds for goods and services changeable in local currency. This intervention takes into account the country’s limited access to foreign finance, which is adversely affecting the country’s balance of payments position
The dispensation to use free funds will also promote social distancing as banks will be able to provide digital financial services to their customers that include producers of gold, tobacco and cotton and recipients of diaspora remittances. Digital financial transactions will go a long way in enhancing confidence in the economy and assisting banks to play 3 critical roles as systemic stabilisers of the economy during these unprecedented times in response to COVID. 19.
Related to the above measures, Government, through the Bank has suspended the managed floating exchange rate system to provide tor greater certainty in Ube pricing at goods and services in the economy. In its place the Bank has, with immediate effect adopted a fixed exchange rate system at the current interbank level of ZW$25 to the USS This measure will be reviewed when markets stabilise from the effects of COVID-19.
Further, the Monetary Policy Committee (MPC) of the Bank at its meeting on 24 Match 2020, resolved to respond to the seeds of the economy in the wake of COVID-19 through the following:
1. Increasing the Medium Term Bank Accommodation Facility for supporting productive sector activities by an additional ZW$1 billion ta ZW$25 billion, the additional amount will be targeted at financing the 2020 winter wheat planting program:
2 Reducing the Statutory Reserve Ratio from 5% to 4.5% in order to tree some funds to the banks to enhance their lending activities,
3 Reducing the Bank’s policy rate from 35% to 25% with the expectation that banks will also
Follow suit and adjust their lending rates to meet the requirements of their customers that are being adversely affected by the pandemic: and
4. The issuance of the Open Market Operations (OMO); Corporate Bills to enhance the monetary targeting framework that is necessary to support the exchange rate and to stabilise prices in the economy.
The Bank also agreed with the banking sector to suspend increases in charges related to the provision of all electronic payments during these trying times. Similarly, the Bank is also engaging the mobile network providers to ensure that their mobile banking charges are reduced in order to promote electronic banking which is in line with social distancing.
Minerals found in Zimbabwe and areas of verified deposits.
A Hidden Treasure Trove of Minerals
Zimbabwe is a geological marvel with every one of its 64 districts holding at least one known mineral deposit, making it one of the most resource-rich nations on Earth. From the rolling gold belts to the lithium-rich plains, Zimbabwe’s underground wealth is as vast as it is varied.
Home to over 63 different minerals, including high-value resources like Gold, Lithium, Platinum, Coal, Chrome, Copper, and Diamonds, the country stands as a prime destination for bold mining investment and exploration.
Below is a table of Zimbabwe’s mineral wealth and the verified locations where these valuable deposits lie waiting to be mined.
| Mineral | Location Found in Zimbabwe |
|---|---|
| Agate | Nyamandhlovu, Chikomba, Lupane |
| Aluminum | Mutare, Nyanga, Mwenezi |
| Amazonite | Nyamandhlovu, Rushinga |
| Amethyst | Nyamandhlovu, Hurungwe, Hwange, Makonde, Lupan |
| Antimony | Kwekwe, Bubi, Mberengwa, Kadoma, Shurugwi |
| Arsenic | Bubi, Shurugwi, Mutare, Gwanda |
| Asbestos | Masvingo, Gwanda, Matobo, Mberengwa, Insiza, Makonde, Umzingwane |
| Aventurine | Masvingo, Beitbridge |
| Barites | Kwekwe, Mwenezi |
| Beryl | Hurungwe, Kariba, Goromonzi, Harare, Mudzi, Rushinga, Mutoko, Bindura, Marondera, Gutu, Buhera, Bikita, Chegutu, Hwange, Mberengwa, Gweru |
| Bismuth | Gwanda, Insiza, Goromonzi, Hwange |
| Cesium | Mudzi, Bikita, Goromonzi |
| Calcite | Hwange, Bindura, Chiredzi, Mwenezi |
| Chromium | Mberengwa, Guruve, Makonde, Gweru, Kwekwe, Shurungwi, Chegutu, Kadoma, Gwanda, Insiza, Masvingo, Chirumanzu |
| Citrine | Marondera, Harare, Goromonzi |
| Clay | Harare, Bulawayo, Gwanda, Gweru |
| Coal | Gokwe, Chiredzi, Beitbridge, Mwenezi, Hwange, Lupane, Binga, Kariba, Hurungwe, Bikita |
| Cobalt | Kwekwe, Insiza, Shamva, Bubi, Bindura |
| Copper | Makonde, Kadoma, Mutare, Chirumanzu, Chegutu, Kwekwe, Shurugwi, Beitbridge, Gokwe, Bindura, Chipinge, Bikita, Insiza, Makonde, Harare, Bulawayo, Shamva, Chiredzi, Nkayi, Mudzi, Chegutu, Bindura, Kwekwe, Hurungwe, Bubi, Makonde, Bikita, Gwanda, Masvingo. |
| Cordierite | Hurungwe, Beitbridge, Chimanimani, Rushinga, Makuti |
| Corundum | Beitbridge, Chiredzi, Shurugwi, Marondera, Mberengwa, Mazowe, Rushinga, Insiza, Goromonzi, Wedza, Makoni |
| Diamond | Gweru, Bubi, Beitbridge, Binga, Mwenezi, Mutare, Chivi |
| Diatomite | Hurungwe |
| Dolomite | Mutare, Beitbridge, Makonde, Mudzi, Masvingo, Rushinga. |
| Emerald | Gutu, Masvingo, Insiza, Mberengwa, Hurungwe. |
| Feldspar | Harare, Bikita, Umzingwane, Goromonzi |
| Fireclay | Hwange, Chiredzi, Kwekwe, Lupane, Nkayi, Kadoma, Kwekwe |
| Flint clay | Mwenezi, Beitbridge |
| Fluorite | Hwange, Guruve, Binga |
| Garnet | Beitbridge, Hurungwe, Mudzi, Guruve, Rushinga, Marondera |
| Graphite | Hwange, Hurungwe, Kariba, Makonde |
| Gypsum | Beitbridge |
| Gold | Every district in Zimbabwe |
| Iron | Kwekwe, Mberengwa, Harare, Kwekwe, Buhera, Gweru, Charter, Chiredzi, Masvingo, Mazowe, Kadoma. |
| Jade | Masvingo |
| Kaolin | Kwekwe, Mutare, Bubi, Hwange, Kadoma, Mazowe, Harare, Umzingwane, Nkayi, Chegutu |
| Kainite | Hurungwe, Nyanga, Mudzi, Rushinga |
| Lead | Mberengwa, Kwekwe, Gokwe, Mutare, Wedza, Hwange |
| Limestone | Mberengwa, Gwanda, Bindura, Shamva, Mazowe, Kadoma, Umzingwane, Gweru, Chegutu, Chimanimani, Mudzi, Harare, Hurungwe |
| Lithium | Goromonzi, Mudzi, Buhera, Bikita, Chegutu, Hwange, Harare, Insiza, Rushinga, Mutoko, Mutare, Hwange |
| Magnetite | Gwanda, Nyanga, Kadoma, Mwenezi, Insiza, Buhera, Mberengwa, Beitbridge, Gweru |
| Manganese | Kwekwe, Gweru, Makonde, Mberengwa |
| Mercury | Bubi, Kadoma |
| Mica | Hurungwe, Rushinga, Kariba, Hwange |
| Molybdenum | Kwekwe, Insiza, Shurugwi, Makonde, Chipinge, Gweru, Mutare |
| Mtorolite | Guruve, Mutare |
| Nickel | Bubi, Makonde, Kwekwe, Insiza, Guruve, Shamva, Shurugwi, Matobo, Chegutu, Bindura, Gweru. |
| Ochre | Gweru, Kwekwe |
| Palladium | Kwekwe, Makonde, Shurugwi, Chegutu |
| Phosphate | Buhera |
| Platinum | Kwekwe, Makonde, Shurugwi, Chegutu, Centenary |
| Pyrite | Shurugwi, Gwanda, Mazowe, Kadoma, Bulilimamangwe, Shamva, Hwange. |
| Salt | Mwenezi |
| Sapphire | Mudzi |
| Selenium | Makonde |
| Silica | Gweru, Kwekwe, Makonde, Chegutu, Gokwe, Harare, Goromonzi |
| Sillimanite | Hurungwe |
| Silver | Makoni, Makonde, Kwekwe |
| Talc | Bubi, Guruve, Insiza, Nyanga, Mutare, Mt Darwin, Mberengwa, Goromonzi, Mutoko, Wedza, Kwekwe, Makoni |
| Tantalum | Hurungwe, Guruve, Kariba, Mudzi, Mutoko, Shamva, Bindura, Harare, Goromonzi, Murehwa, Mt Darwin, Rushinga, Mazowe, Marondera, Gutu, Masvingo, Buhera, Bikita, Mutare, Hwange, Chivhu, Mberengwa, Chimanimani, Makoni, Insiza |
| Tin | Hurungwe, Mudzi, Shamva, Bindura, Goromonzi, Harare, Rushinga, Mt Darwin, Nyanga, Gutu, Bikita, Hwange, Masvingo, Mutare |
| Topaz | Hurungwe, Gweru, Mutare |
| Tungsten | Hurungwe, Kariba, Shamva, Mazowe, Rushinga, Bindura, Guruve, Mt Darwin, Harare, Mudzi, Goromonzi, Bulawayo, Insiza, Matobo, Gwanda, Umzingwane, Bubi, Buhera, Mberengwa, Kadoma, Bikita, Shurugwi, Mutare, Chipinge, Chegutu, Kwekwe, Chiredzi, Wedza, Gweru, Hwange, Masvingo, Makoni |
| Vanadium | Mt Darwin, Guruve, Bulawayo |
| Vermiculite | Buhera, Mudzi |
| Zinc | Kwekwe, Gokwe, Nyanga |
For most Mining companies globally, work is grinding to a halt and operations at mines are being temporarily suspended as majors and minors move to enact measures to protect against the spread of Covid-19.
With governments from Africa to Latin America issuing lockdown orders, unprecedented disruptions to operations and supply chains are threatening the outlook for industrial and precious metals. Most of the majors have announced halts at gold-copper operations.
Last week, producers across South America, where the bulk of the world’s copper is produced, halted or cut back operations and slowed construction.
Zimbabwean Miners save for the ZMF have not yet issued any statements regarding the world-wide Coronavirus Pandemic that is now in the country.
Mining[.] com
Platinum Miner Mimosa reported an accidental death at its Mine in Zvishavane. The accident reportedly occurred on the 24th where a 41-year-old male passed away.
See press statement below:
Local currency continued downward trend has created huge savings for Blanket Mine due to devalued bank loans and electricity bills.
Caledonia Mining Corporation’s chief executive officer, Steve Curtis acknowledged that an additional US$30 million on profits was prompted by the local currency’s depreciation.
“This gain, which is largely unrealised, was due to the sharp devaluation of the Zimbabwe currency from February 2019 onwards, which reduced the US$ values of bank loans and the deferred tax liability,” he said.
While electricity shortages have affected several companies in Zimbabwe, the mining giant also recorded huge savings on the current foreign currency charged tariffs because they are now cheaper compared to the previous multi-currency tariffs.
“I am also pleased to report an improvement in the operating environment in Zimbabwe. Although the country continues to face challenges, the introduction of the interbank rate early in 2019 allowed us to better protect our workers from the effects of high inflation,” Curtis said.
During the financial year ended December 31 2019, Blanket Mine’s strong performance which resulted in increased production, combined with lower on-mine costs per ounce and an improved gold price, resulted in a substantial increase in profit.
Profit for the year increased by 44% to over US$31 million while gross profit for the quarter was over 100%.
On-mine costs per ounce for the year were $651 compared to $690 in 2018 due to lower electricity costs in the first part of the year and lower on-mine administration costs due to the devaluation of the Zimbabwe currency.
Going forward, the mining group has positioned Blanket Mine to enable it to increase production to the target rate of approximately 80 000 ounces of gold per annum from 2022 onwards.
The shaft sinking phase of the project was completed in July 2019 and work has commenced on equipping the shaft and substantial capital investment period is expected to be completed in the third quarter of 2020.
New ZIm
Zimbabwe Miners Federation (ZMF) on the 21st of March 2020 issued an awareness press statement to Artisanal and Small-Scale Miners in solidarity with the world on the current coronavirus pandemic and the necessary precautionary measures to be followed.
Some of the precautionary measures as stipulated by The World Health Organization (WHO) and as is implemented by the Zimbabwean Government includes but not limited to social distancing and avoidance of large crowds
In view of this, Notice is hereby given that ZMF Head Office are closed from today the 24th of March 2020 until further notice. Any critical issues will be attended to from home offices.
For any queries during this period, contact the following cell numbers; 0772986436 -CEO 0772942473- PR Manager 0774782860 -Finance and Admin Manager
Miners are reminded to remain vigilant in the prevention of COVID 19 and practice good personal hygiene in line with WHO standards
Wellington Takavarasha
Chief Executive Officer
FOR AND ON BEHALF OF ZIMBABWE MINERS FEDERATION
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