HARARE – Government and private sector players in the mining industry are resolute in their commitments towards achieving the US$12 billion by 2023.
Zimbabwe launched the Strategic Road to the Achievement of $12 billion by 2023 in October 2019 as part of the broader macroeconomic roadmap towards achieving an upper middle-income economy by 2030.
The multi-billion-dollar industry will be driven by gold, platinum, diamond, chrome, iron ore, coal, lithium, and other minerals.
The background of mineral contribution to the US$12 billion is that US$4 billion will come from gold, platinum, US$3 billion; US$1 billion, diamonds; US$1 billion, coal; US$1 billion from chrome; ferrochrome and carbon steel, half a billion in lithium and US$1,5 billion from other minerals, summing it to US$12 billion.
The artisanal and small-scale miners (ASM) are also expected to play an important role towards the mining milestone with sector player’s committing to contribute US$4 billion by the targeted period.
Currently, various projects running into billions of US dollars, largely financed by the private sector, are at different stages of implementation, with the Government facilitating the ease of doing business to encourage investments in the sector.
This year, the mining sector is estimated to grow 3.4 percent, before reaching eight percent in 2022, as the country continues to leverage its mineral resources to achieve the desired growth.
Karo Resources, which signed a $4.2 billion platinum deal with the Zimbabwe Government in 2018, is targeting first production of its four portals before 2023.
At its peak, Karo is projected to produce about 1.4 million ounces of platinum, more than twice Zimbabwe’s current total output, bringing in billions of US dollars into the country.
Zimplats Holdings, which is presently Zimbabwe’s largest platinum producer, last month approved an overall capital investment strategy for the group with a budget of US$1.8 billion to be implemented over a 10 year period.
According to Alex Mhembere, the group’s chief executive, Zimplats projects resonate well with the government’s quest of the mining sector becoming a US$12 billion industry by 2023 as well as the broader Vision 2030 which seeks to fundamentally transform Zimbabwe to an upper middle-income economy by 2030.
He said the major capital expenditure projects are part of the group’s investment strategy that began in 2021, with US$1.2 billion already approved for implementation. – THE HERALD, Zimbabwe.
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