Gold output to surpass 13 000 tonnes

improved exploration techniques, an official said on Monday.
National gold output sharply dipped in the past decade to an all time low of about 4 000 kilogrammes in 2008 due to challenges ranging from erratic power supplies and elusive recapitalisation resources. However, after adopting the multiple foreign currency system in 2009, production of the yellow metal steadily improved, riding on the prevailing macroeconomic stability.
Chamber of Mines president Mr Victor Gapare said output could leap to a record high of 50 000 tonnes per annum if US$1 billion was sunk into the sector over the next five years.
Mr Gapare said even if investment capital remained elusive, production could still hit the 20 000 tonnes per year mark, driven by a growing strong investor appetite for bullion.
“There is great gold production potential if we attract investment in the sector,” he said.
“Exploration techniques have improved,” he added, noting that it was imperative to sustain current production levels.
On the international stage, leading consultancy on global gold output GFMS forecasts that production would continue to advance as investors scramble for the precious metal.
The insatiable appetite for gold is in part fuelled by investors seeking new investment havens amidst a weakening greenback.
Currently, gold is fetching US$1 498 per ounce on the international market and is forecast to sell for as much as US$1 600 per ounce before year-end.
Zimbabwe’s contribution to global output could be doubled if miners are fed with adequate power supplies and attract lines of credit.
The Chamber of Mines has since reported that it is losing about a quarter of production time due to persistent power cuts haunting the sector.
Local output would also be buoyed by a growing number of small-scale miners. – New Ziana.