HARARE – Zimbabwe will now allow two more private companies to explore and mine diamonds in the country, bringing to four the number of firms that will operate in the sector, mines minister Winston Chitando has said.
Last week Chitando said the country did not plan to change its ownership rules for diamonds and platinum, denting hopes among some miners the country will open up ownership as it announces mineral frameworks in coming weeks.
LONDON – Zimbabwe does not plan to change its ownership rules for diamonds and platinum, its mining minister said on Monday, denting hopes among some miners the country will open up ownership as it announces mineral frameworks in coming weeks.
HARARE – Zimbabwean gold producers may suspend operations because a foreign-exchange shortage has left them with insufficient funds to cover production costs, the main industry lobby group said.
Curbing output would deprive the country of a key source of export earnings as Finance Minister Mthuli Ncube tries to stabilize an economy wrecked by the misrule of former leader Robert Mugabe.
HARARE – Zimbabwe's gold miner RioZim on Tuesday said it would take legal action to force the central bank to pay it in US dollars for part of its output, signalling impatience by mining companies over acute dollar shortages afflicting the economy.
The shortages have worsened since 2016 and are the biggest concern for foreign investors seeking a foothold in Zimbabwe, which is trying to recover after 20 years of economic hardship under former leader Robert Mugabe.
Watch the video link.
Zimbabwe’s Permanent Secretary in the Mines and Minerals Ministry, Munesu Munodawafa, is expected address delegates at the Zimbabwe Mining and Tax Law Briefing to be held on the 22th of May in Johannesburg, South Africa.
The briefing is expected to demystify and give insight into the legal framework around mining in Zimbabwe ahead of the Mines and Minerals Bill expected to be passed into law before the end of May 2018.
The briefing which will see top delegates in mining and law engaging in high-level discussions, will look at the Policy, Regulation and Mineral Tax Regime in Zimbabwe.
Mr. Munesu Munodawafa, Permanent Secretary, Ministry of Mines and Mine Development Zimbabwe will present the keynote address at the Zimbabwe Mining & Tax Law briefing, to be held in Johannesburg on 22 May 2018.
The Zimbabwe government is committed to reviving the mining industry and attract mining investment. President Emmerson Mnangagwa has pledged investor-friendly policy changes and partially scaled back a law requiring mining companies to be majority locally owned. The Act will also enable investors to apply for a waiver to the 51% ownership requirement, which will be considered on a case-by-case basis.
JOHANNESBURG (miningweekly.com) – Zimbabwe is committed to introducing mining policy certainty to win back investment and revive the industry following the swearing in of President Emmerson Mnangagwa late last year. Mnangagwa is seeking to revive the economy and attract mining investment and has pledged investor-friendly policy changes and partially rolled back a law requiring miningcompanies to be majority locally owned.
Under his leadership, the Zimbabwe government amended the Mines and Minerals Act in March, to restrict compulsory indigenisation to the diamond and platinum sectors. The amended Act is designed to ensure that, in the course of time, at least 51% of any designated extractive business is owned through an appropriate designated entity, with or without the participation of a community share ownership scheme or employee share ownership scheme or trust.
HARARE – Zimbabwe’s government plans to sign a $700-million deal with an investor that will develop a coal-bed methane site, Mines Minister Winston Chitando said.
The accord comes as new President Emmerson Mnangagwa, who took office in November, courts foreign investment to rebuild an economy that halved in size since 2000 under former President Robert Mugabe’s rule. Two other similar agreements are expected in the next two months, Chitando said in a phone interview Thursday from the capital, Harare.
“The coal-bed methane projects will be for power and other related products and by-products,” he said, declining to identify any of the investors. Most of the output from the project to be signed this month will be “channeled toward the establishment of a power plant,” Chitando said.
JOHANNESBURG (miningweekly.com) – Aim-listed Vast Resources’ 25%-owned group company Dallaglio Investments has acquired a 95% interest in the Eureka gold mine, in Zimbabwe.
Dallaglio acquired a 95% interest in Delta Gold Zimbabwe, which owns the Eureka mine, from Alpha Resources and the Industrial Development Corporation of South Africa, thereby providing Vast with an indirect 23.75% interest in Eureka.
The $4.49-million purchase price is financed by a loan from Sub-Sahara Goldia Investments (SSGI) to Dallaglio.
SSGI has an effective 24.99% interest in Dallaglio and, therefore, funding for the acquisition has been sourced by Vast's associated entities in Zimbabwe without recourse to Vast.
With the country’s new leadership, opportunities to upgrade infrastructure in the energy, mining and road transport sector have made Zimbabwe an attractive destination for investors.
Decades-long political instability, sanctions and a failing economy have seen a massive decline in Zimbabwe’s international appeal. Even as global investors turned their attention to Africa in 2015 and 2016, Zimbabwe managed to exclude itself from billions of dollars of investment over its tumultuous economic trajectory.
But, the tide has turned and Zimbabwe appears to be in the Spring of life once again.
Sternford Moyo, LEX Africa’s member in Zimbabwe gave valuable insight into the private equity market in the southern African country, at a seminar held in Johannesburg, entitled An Outlook on Africa 2018.
Johannesburg - Moti Group is preparing to double its investments in Zimbabwe to $500m after the removal of Robert Mugabe as president in November saw the government adopt a more open approach to foreign companies.
Emmerson Mnangagwa, 75, who replaced Mugabe after the military briefly took control, has declared that “Zimbabwe is open for business” and has said he will ease the country’s local ownership rules and re-engage lenders such as the International Monetary Fund.
MARK Cutifani, CEO of Anglo American, described Chris Griffith, his counterpart at the 80%-owned listed subsidiary, Anglo American Platinum, as “keen as mustard” to explore fresh prospects in Zimbabwe which has recently thrown its doors open to investment.
Well, kind of …
Cutifani, as with Impala Platinum (Implats) CEO, Nico Muller, is cautious about how a change in president in Zimbabwe might actually alter policy towards foreign investment. Following the initial euphoria following the toppling of former Zimbabwe dictator, Robert Mugabe, a sense of watchfulness has now befallen the markets in respect of Zimbabwe, especially among the miners who have seen it all before.