Australian mining company Prospect Resources Ltd has shifted its focus towards gold exploration after disappointing outcomes at its Step Aside and Bikita Gem lithium projects in Zimbabwe. The strategic pivot marks a significant realignment for the company, which rose to prominence following the over US$400 million sale of its Arcadia Lithium Mine to China’s Huayou Cobalt in 2022.
By Rudairo Mapuranga
In its quarterly report for the period ending March 31, 2025, Prospect confirmed that all exploration efforts at the Step Aside Lithium Project had been halted and expenditure reduced to minimum holding commitments. The company is now preparing to monetise the asset while increasingly investing in the potential for gold within the same area.
“Exploration activities at Step Aside have ceased,” Prospect noted, adding that it had launched a formal sales process in the March quarter, with Nurture Investments appointed to lead the initiative. A digital data room has been established with supporting geological, legal, and logistical documentation to facilitate the divestment.
Turning to Gold in a Proven Belt
As lithium exploration winds down, the focus is turning to what may be Zimbabwe’s oldest and most reliable friend in the mining sector—gold. From February to March 2025, Prospect re-examined diamond drill core samples from the Step Aside project for gold potential. Encouraging intersections, described as visually prospective for gold mineralisation, have been submitted for lab analysis.
What makes this transition more than speculative is location. Step Aside is located in the heart of the Harare Greenstone Belt, a geological zone renowned for high-grade gold mineralisation. Historically, the belt has produced over 35 tonnes of gold, primarily from the Arcturus group of mines, which are situated just 12 kilometres southwest of the Step Aside site. These mines are known for their high-grade, vein-hosted gold systems, similar in structure to what has been encountered at Step Aside.
In short, Prospect is not wandering into unfamiliar territory—it is drilling into a zone with a proven gold pedigree.
Strategic Gold Shift Amidst National Potential
Prospect’s gold ambitions align well with Zimbabwe’s broader mining narrative. The country is sitting on an estimated 13 million tonnes of gold reserves—valued at over US$65 trillion—according to data from the Reserve Bank of Zimbabwe. This potential is not lost on investors or the government, especially at a time when global gold prices are buoyant and lithium markets are tightening.
Zimbabwe’s drive toward becoming an upper-middle-income economy by 2030 heavily hinges on gold production. With major projects like Motapa and Bilboes coming online, and significant state support behind both large- and small-scale gold mining ventures, the pivot by Prospect is not only timely but strategically sound.
From Lithium Darling to Gold Revivalist
This move into gold exploration signals a new chapter for Prospect Resources, which once made headlines as Zimbabwe’s lithium darling. The Arcadia deal with Huayou Cobalt cemented its legacy in lithium, but with exploration at both Step Aside and Bikita Gem yielding underwhelming results, the company appears to be embracing Zimbabwe’s most tested commodity.
It is not the first miner to make such a pivot. Several lithium-focused firms in Zimbabwe are now reassessing their portfolios, particularly as softening lithium prices and rising gold prices force companies to rethink resource allocation.
Step Aside Could Still Deliver Value
Even as a lithium project, Step Aside was always a compact operation—100 hectares of claims located 35 km from Harare. Now, with its gold potential under renewed scrutiny, it may yet provide significant returns either through outright sale or future development. For now, Prospect is betting that Zimbabwe’s golden legacy still has more to offer.
With an aggressive exploration mindset and a growing appetite for diversification, Prospect Resources’ gold ambitions could mark its resurgence as a multi-commodity producer in Zimbabwe. All eyes will now be on the outcome of their ongoing gold assays and how they reposition their operations in a country poised for another gold boom.
