Miners applaud Govt’s decision

Last week President Mugabe urged professionals in the mining sector such as geologists and engineers to team up and  form consortiums to fully tap the vast mineral resource base Zimbabwe is endowed with.

 

Representatives of small-scale miners yesterday welcomed the decision, saying it was a positive step in ensuring that the locals were fully empowered.

“There is nothing wrong about it. I think it is a proper decision to take as it will address issues to do with indigenisation.

“By stopping foreigners from securing mining licences, it means locals are being accorded the opportunity to dominate the mining sector,” said Bulawayo Miners’ Association advisor Mr Ishmael Kaguru.

He said locals, because of desperation, at times partnered foreign investors in ventures on unfavourable terms.

“As it is right now, most of the local miners are getting into gold mining than any other mineral because other minerals such as coal and chrome require a lot of capital investment.

“Through the support we are getting from the financial services sector and Government, we hope to see more indigenous miners venturing into other minerals apart from gold,” he said.

He said a local banking institution recently pledged to support small-scale miners through funding the mining industry mechanisation programme.

“As a result, each mining region in the country will soon secure 20 compressors due to the support small-scale miners are receiving from the banking industry,” he  said.

In a separate interview, Mr Fred Ndoro who is the director of a number of mining and exploration companies said the decision by President Mugabe was in line with the indigenisation policy.

“The decision by the President implies that no more securing of prospectus licences by foreign investors.

“A prospecting licence is the starting point that each miner has to secure before mining.

“The announcement that no more mining licences to be issued to foreign investors is not really a new development, but it is a strategy aimed at  ensuring that there is 100 percent ownership in some of the mining operations,” he said.

The implementation of the Indigenisation and Economic Empowerment policy seeks to address the economic disparities that existed in the country as a result of colonialism.