Online Reporter
Nelson Gahadza
Senior Business Reporter
MUTAPA Gold Resources has secured US$125 million to accelerate the expansion of its mining operations, which the Government has described as a major investment expected to significantly increase national gold output and strengthen Zimbabwe’s foreign currency earning capacity.
Mines and Mining Development Minister Dr Polite Kambamura, speaking after a tour of Freda Rebecca gold mine, said the Government was encouraged by the company’s ambitious expansion programme, saying it was a clear demonstration of Mutapa’s commitment to boosting production in line with the country’s economic development agenda.
“Mutapa has restructured into smaller business units for efficiency and increased productivity.
“The organisation is currently on an expansion drive to increase gold production from the current 300 to 310 kilogrammes per month to between 570 and 600 kilogrammes by the end of this year. The company has already secured funding for the expansion of its operations,” he said.
The expansion programme will see significant investments at several of Mutapa Gold Resources’ operations, including Shamva Mine, Freda Rebecca and Jena mines.
According to Dr Kambamura, production at Shamva Mine is projected to rise from the current 66 kilogrammes per month to about 200 kilogrammes.
Freda Rebecca is expected to increase monthly production from about 204 kilogrammes to 270 kilogrammes, while Jena Mine is also set to substantially increase output from its current levels of 40kgs to 60kgs per month.
The minister said the expansion aligns with the Second Republic’s thrust of increasing mineral production and strengthening the country’s gold reserves, which underpin Zimbabwe’s gold-backed currency.
“We are very excited as Government, especially seeing that the company is aligning with the Second Republic’s call for increased production and ramping up output.
“I would like to urge other mining operations to follow suit because every gramme and every kilogramme of gold produced contributes towards improving our national gold reserves,” he said.
Beyond production, Dr Kambamura said the Government remained focused on ensuring mining operations adhere to environmental and occupational safety standards.
He said the ministry continues to conduct inspections and safety awareness campaigns across the sector, adding that operations failing to comply with mining and environmental regulations would face closure until deficiencies are addressed.
“We are not only interested in getting the gold, but life is greater. Where standards are not being followed, we are closing those operations until they comply with environmental and safety requirements,” he said.
Mutapa Gold Resources chief executive officer, Mr Patrick Maseva-Shayawabaya, said the company had already delivered a strong operational performance in the first half of 2026, exceeding production targets.
He said the group produced 921 kilogrammes of gold during the first quarter ended March 2026 and 925 kilogrammes in the second quarter, bringing total first-half production to 1 826 kilogrammes, positioning the company to achieve its annual target of 3 400 kilogrammes.
“The improved performance followed measures implemented to address lower ore grades that had affected production during the previous financial year.
“We have exceeded our expectations in terms of production. The first-half performance has set us well for achieving our target for the year,” Mr Shayawabaya said.
To finance its expansion programme, Mr Shayawabaya said Mutapa had secured a US$125 million funding commitment from a syndicate of local banks for projects at Shamva and Jena mines, while additional offshore financing options were also being pursued.
“We have local funding from a syndicate of banks that has pledged US$125 million towards our expansion projects at Shamva and Jena.
“We expect to sign the agreement shortly and this funding will enable us to commence the projects while we continue exploring funding options beyond our borders,” he said.
The long-term investment programme is expected to transform the group’s production profile over the next three years.
Mr Maseva – Shayawabaya said by the end of 2029, Freda Rebecca is projected to produce 270 kilogrammes of gold per month, Shamva 200 kilogrammes, while Jena is expected to reach 100 kilogrammes per month.
Meanwhile, the Government is also accelerating reforms to unlock the country’s mineral potential.
Dr Kambamura said preparations were underway for a nationwide airborne geophysical survey to accurately map Zimbabwe’s mineral resources and reserves.
The exercise, he said, would enable the Government to strategically plan mineral development, attract investment and position Zimbabwe to benefit from growing global demand for critical minerals.
He added that the Mines and Minerals Bill, which is currently before Parliament after revisions, is expected to be enacted before year-end, providing an updated legal framework for the sector and supporting the country’s drive to maximise value from its vast mineral resources.
