Mining investors keen on Zim

organisers of this year’s mining conference and exhibition. said, “smart money” understands that the mining environment in Zimbabwe has a new set of rules, with serious investors continuing with their plans.
“It may be that they are now looking at commodity prices, which may impact on the quantum of investment they make.”
“Key players have remained active in the country’s mining industry — platinum producer Impala Platinum (Implats), diversified miner Anglo American and diamond mining company Mbada Diamonds,” said  Mr Muzariri.
Implats had continued with its investment programme and has committed at least US$400 million to its operations in Zimbabwe, he said.
“Anglo American is looking to invest about half of that and seems to be progressing on the investment front,” he added. Further, with the Marange diamond fields having been certified by industry organisation — the Kimberley Process — and Mbada Diamonds has continued with its investments at Marange.
Coal is another commodity on the rise in Zimbabwe and exploration in this regard is increasing.
“There are large coal deposits (in Zimbabwe) that can be used for electricity generation, so that’s an area in which we expect to see significant development in years to come,” said Mr Muzariri.
He also spoke of renewed interest in the Mhangura Copper Mine, which closed more than a decade ago, as the copper price has improved in recent years.
As a result, Mr Muzariri predicts that copper will be an area to monitor closely for growth opportunities in the Zimbabwe mining industry.
Similarly, he expects renewed interest in gold, owing to the favourable gold price in recent years and believes that there are many opportunities in the Zimbabwe gold sector that can still be explored.
Chrome, however, is one commodity that has struggled. “There was a bit of a hiatus in the chrome sector because of the moratorium on selling unprocessed chrome,” explained Mr Muzariri.
He said the Government was pushing for beneficiation, but this was progress was slow because of certain challenges such as power shortages and the insufficient capacity to smelt chrome and produce products.
“This year, the main objective of the indaba is to position Zimbabwe as a powerhouse in the mining sector, hence the theme ‘Making the mining sector happen in Africa’ and an infrastructure hub in the Southern African Development Community region,” said Mr Muzariri
The Indaba will showcase a panel comprising representatives from regional Chambers of Mines to discuss key issues that impact on the mining sector in Africa. It will also focus on developing strategies to economically uplift the continent through mining developments, and pave way for a collaborative strategy for mining in the Sadc region.
Some members of the African mining community who will speak on the mining sector in Africa include Chamber of Mines Zimbabwe president Mr Winston Chitando, Chamber of Mines Ghana CEO Dr Toni Aubynn, Chamber of Mines Botswana CEO Mr Charles Siwawa, DRC Chamber of Commerce chairperson Mr Thiery Naweji Kankwala and Chamber of Mines Zambia GM Mr Frederick Bantubonse.
The Zimbabwe Mining Indaba 2012 will also focus on the role of infrastructure and how it impacts on the mining industry, which is one of Zimbabwe’s biggest economic drivers, second only to the uptake in agriculture, which is why Mr Muzariri emphasises the importance of discussing and implementing infrastructure development. The Indaba, which takes place from September 12 to 14 at the Harare International Conference Centre, aims to dovetail infrastructure developments with those taking place in the mining industry,” he says.
Further, the discussion about infrastructure will also focus on regional infrastructure and the critical positioning of Zimbabwe in the region.
“Numerous powerlines route through Zimbabwe. The railways and road networks in the region all have links into and through the country,” said Mr Muzariri.
The first Zimbabwe Mining Indaba was held in 2009 and since then it has become a calendar event for the mining community.
Mr Muzariri explained that over the years, the Mining Indaba has profiled Zimbabwe as a viable mining investment destination, and it provided an opportunity to interact with potential investors, as well as a forum for Government and other stakeholders to present their strategies for growing the mining sector.
Delegates come from across the globe and from various sectors including; mining houses, suppliers, fund managers, construction houses, DFIs, private equity players, banks and infrastructure specialists.
Following the 2010 Indaba, the Zimbabwe Stock Exchange saw an increase in the mining shares.
The Indaba continues to attract delegates in its fourth year, as the potential of Zimbabwe as an investment destination cannot be dismissed.
“Its full potential has not yet been tapped. Zimbabwe and the African continent present a myriad of mining business opportunities across numerous commodities.” Mr Muzariri said.