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The country’s biggest platinum group metals producer, Zimplats Holdings Limited, has reported a staggering turnaround in its financial performance for the half-year ended 31 December 2025, with after-tax profit surging to US$143.7 million, a dramatic increase of 3,376% from the US$4.1 million recorded in the same period last year, Mining Zimbabwe can report.

By Rudairo Mapuranga

The results underscore the miner’s sensitivity to global commodity prices and highlight the ongoing currency challenges facing businesses in Zimbabwe.

According to the Group’s Appendix 4D and interim financial statements released in February 2026, the revenue surge was the primary driver of the bottom-line growth.

Revenue for the period jumped 83% to US$641.8 million (H1 FY2025: US$350.2 million).

The impressive financial result was underpinned by solid operational performance. Milled volumes increased by 5% to 4.0 million tonnes, while mined volumes rose 8% to 4.2 million tonnes, benefiting from improved machinery availability and the resuscitation of open-pit operations.

Total 6E (platinum, palladium, rhodium, gold, ruthenium, iridium) production in concentrate increased by 13% to 316,765 ounces. Sales volumes of 6E metals followed suit, rising 10% to 308,598 ounces.

While production and sales volumes grew by a healthy 10–13%, revenue grew by a staggering 83%. The discrepancy is explained by a sharp recovery in PGM prices.

The company’s financial review explicitly states that the revenue jump was driven by a 66% increase in average metal prices. The gross revenue per 6E ounce sold soared to US$2,080, up from just US$1,252 in the first half of the 2025 financial year.

This price leverage flowed directly to the bottom line. Profit before tax came in at US$203.4 million, compared to just US$8.9 million in the prior comparable period. The Group’s income tax expense naturally followed suit, rising to US$59.7 million from US$4.7 million.

Cost of sales increased by 31% to US$425.0 million, driven by labour, higher equipment maintenance, and increased royalty payments—the latter rising in tandem with the higher revenue.

For stakeholders in Zimbabwe, Zimplats’ financials continue to reveal the complexities of operating in a multi-currency environment with the Zimbabwean dollar (ZWG).

The report highlights that while the Group presents its accounts in US dollars, it holds significant exposure to the local currency. As of 31 December 2025, the Group held ZWG balances worth US$97.98 million (up from US$68.8 million in June 2025).

More critically, the Group disclosed that US$78.1 million of its cash position is held by the Reserve Bank of Zimbabwe (RBZ) in a “deferred liquidation account.” This is a result of the country’s export retention regime, where exporters must surrender a portion of foreign currency earnings to the central bank in exchange for ZWG at the interbank rate. The company notes that “tight monetary and fiscal policy measures” have led to “intermittent releases of local currency,” resulting in the accumulation of these ZWG balances. This remains a significant liquidity and translation risk for the miner.

To manage local working capital needs, the Group continues to utilize short-term ZWG facilities, despite their high cost. The company extended a ZWG135 million (approx. US$5 million) loan facility with FBC Crown Bank at an interest rate of 45% per annum and fully settled a similar facility with Ecobank.

Despite the currency headwinds, Zimplats continues to invest heavily in its long-term future. Capital expenditure for the half-year was US$91.1 million.

Mupani Mine: The project to replace aging mines is on schedule, with US$360 million spent against a US$386 million budget. Full capacity of 3.6 million tonnes per annum is expected in H1 FY2029.

Smelter Expansion & SO₂ Abatement: Technically complete, with cumulative spending of US$466 million against a US$544 million budget. The new furnace will significantly expand processing capacity.

Solar Plant (Phase 2A): Following the commissioning of the 35MW solar plant, the Group has begun work on a 45MW expansion. The US$54 million project is expected to be completed in H1 FY2027, with US$24 million spent to date.

With a strengthened balance sheet—cash and cash equivalents closed at US$145.7 million, up from US$99.3 million in June 2025—Zimplats is well-positioned to continue its capital programs.

CEO Alex Mhembere struck an optimistic tone in the report, citing improved PGM prices and operational excellence. However, the economic reality for the miner remains a delicate balance: leveraging strong USD commodity prices to fund growth while navigating the liquidity and inflationary pressures of the ZWG from its domestic operations.

Kavango Resources has launched legal action after the planned acquisition of the Nara Gold Project in Zimbabwe collapsed when the seller failed to complete the transfer of the asset within the agreed timeframe, Mining Zimbabwe reports.

By Ryan Chigoche

The Victoria Falls Stock Exchange (VFEX)-listed mining and exploration company said it is pursuing all available legal avenues against Simon John Bowman and his operating company, Romjack Mining Limited, who were responsible for selling the project under a Call Option Agreement covering 45 mining claims.

Kavango had exercised its option to acquire 100 per cent of the Nara Gold Project in June 2025, following an agreement initially signed in June 2023. The parties had set 27 February 2026 as the deadline to complete the transaction after an extension to the original terms.

However, the company said the deadline passed without the seller fulfilling the obligations required to transfer ownership of the claims, effectively bringing the transaction to a halt.

In response, Kavango Resources said it will seek to enforce the agreement and pursue compensation, stressing that the move is aimed at safeguarding shareholder interests. The company also indicated that further updates will be issued as the legal process unfolds.

The collapse of the Nara deal comes amid one of the strongest gold markets in recent history. Spot gold prices breached $5,000 per ounce in early 2026, reaching highs above US$5,400, reflecting heightened safe-haven demand driven by geopolitical tensions and economic uncertainty.

The dispute introduces uncertainty around the Nara project, but Kavango’s broader strategy in Zimbabwe remains centred on its Hillside Gold Project, where exploration work has been advancing across its portfolio in the country’s gold-rich greenstone belts.

Over the past two years, the company has reported several gold discoveries within the Hillside project area and is working toward establishing early-stage production capacity of about 250 tonnes per day as part of a phased development plan.

To support this work, Kavango Resources raised approximately £2.2 million in September 2025 through a direct subscription and placing, with the funds earmarked for development activities including resource drilling and the establishment of a carbon-in-leach processing plant.

The developments come at a time when Zimbabwe’s gold sector is attracting growing interest from international investors as several large projects move through development stages.

Among the major projects in the pipeline is the Bilboes Gold Project being advanced by Caledonia Mining Corporation, which is expected to become one of the country’s largest gold mines once developed.

Meanwhile, Ariana Resources holds the Dokwe Gold Project in the Tsholotsho District, widely regarded as one of Zimbabwe’s largest undeveloped gold deposits.

Another notable development is the planned restart of the Mazowe and Redwing gold mines by Namib Minerals, which are currently on care and maintenance but hold significant gold resources.

While such projects underline the scale of investment interest in Zimbabwe’s gold industry, the dispute surrounding the Nara acquisition highlights the commercial risks that can arise in mining transactions, particularly where agreements depend on private counterparties completing asset transfers.

For Kavango, resolving the dispute over the Nara Gold Project will be an important step, even as the company continues to advance its broader gold exploration and development activities in Zimbabwe.

On the outlook, analysts and investor surveys suggest the metal could remain elevated through 2026, with some forecasts indicating that gold may again test or exceed the $5,000 level later in the year as risk-off conditions persist and central banks maintain strong demand for bullion.

The Betterbrands Gold Refinery in Bulawayo is poised for its official opening, with all systems ready for the facility’s inauguration, *Mining Zimbabwe can report.

By Rudairo Mapuranga

The event will mark a significant strategic expansion for Betterbrands, transitioning it from Zimbabwe’s foremost gold buyer to a fully integrated refiner.

Betterbrands Gold CEO, Mr. Fradreck Kunaka, confirmed that the refinery is complete and ready to begin operations. The formal launch is scheduled to take place imminently, celebrating the culmination of the major project.

“We are pleased to confirm that everything is now in place. The refinery is complete, and we are poised to commence operations. The official inauguration ceremony will be held very soon, and we will communicate the date in due course,” Kunaka said.

The opening of the refinery recognises Betterbrands’ pre-eminent role in Zimbabwe’s gold sector. Before its foray into refining, the company, founded by businessman and Mabvuku-Tafara MP Pedzisai “Scott” Sakupwanya, established itself as the largest individual supplier of gold to the state-owned Fidelity Gold Refinery (FGR). Mining sector reports highlight the scale of this contribution, noting that in a recent year, a staggering 18.8 tonnes were sourced through Betterbrands.

Analysts note that Betterbrands has been instrumental in channeling artisanal and small-scale mining output into the formal economy. Over several years, the company has delivered nearly 60 tonnes of gold to FGR, translating to over US$6 billion in foreign currency earnings for the nation. Its operations are a key factor behind FGR’s record performance, which saw the national target of 40 tonnes surpassed in 2025, with projections set for 50 tonnes in 2026.

The launch of the Betterbrands Refinery aligns with national goals to increase local beneficiation of mineral resources. It places Zimbabwe alongside other African nations such as Angola, Ghana, and Burkina Faso, which are also advancing domestic gold refining projects to capture more value from their resources.

The refinery’s opening in Bulawayo represents a major capital investment in the city and is expected to create a new hub for gold processing. It comes at a time when the government’s incentive scheme, offering a 5% premium on gold deliveries to FGR, has successfully boosted formal deliveries. This policy, combined with rising global gold prices, has fuelled a surge in national output.

The official opening will not only celebrate a new industrial facility but also symbolise the evolution of a homegrown company that has significantly impacted the national economy. As Betterbrands moves from trading to refining, it reinforces Zimbabwe’s ambition to become a more influential player in the global gold value chain. The industry will now watch how this new refining capacity integrates with the existing ecosystem and contributes to the next phase of Zimbabwe’s gold story.