adminGOLD output in Zimbabwe is expected to rise this year to 18.4 t, the highest level in 11 years, thanks to higher production from small-scale miners, the mining chamber said yesterday.
Gold is the second single largest mineral export earner after platinum in the Southern African nation.
Toendepi Muganyi, president of the Chamber of Mines, which represents major mining companies, said gold production would increase to 18.4 t this year from 15.3 t last year.
The figure would be the highest since 2004 when Zimbabwe produced 21.3 tonnes.
“This year the most significant increase is coming from small scale miners,” Muganyi told a mining conference in Harare.
Finance Minister Patrick Chinamasa on July 30 cut royalties levied on small-scale gold producers to one percent from three percent but retained the levy on large mines, who accounted for 63 percent of gold deliveries between January and June this year.
In the past small-scale producers have been accused of smuggling gold outside Zimbabwe but the government is tightening surveillance measures in the sector as more people sell bullion through official channels.
Large gold mines have, however, asked the government to cut royalties and electricity tariffs by half to prevent the collapse of mines struggling with low bullion prices.
Platinum output is expected lower at 11,8 tonnes from the 12,5 tonnes last year while nickel is projected to fall 7,4 percent to 16,6 tonnes, Muganyi said.
Chrome is seen recording the biggest drop at nearly 50 percent to 210 tonnes from 408 tonnes last year with 140 tonnes produced in the period from January to August.
Coal, at 3,9 million tonnes, is 38 percent lower than the 6,354 million tonnes produced last year. Zimbabwe last week said it will as large mining companies to cut power consumption by up to 25 percent as part of measures to ease crippling shortages. — Wires.
Online Reporter