‘No value addition equipment, no chrome claims’

Mukudzei Chingwere

Herald Reporter

THE issuance of new chrome mining titles exceeding 100 hectares will now be contingent upon the expansion or development of new furnace capacity, Government has said.

Addressing a post-Cabinet media briefing in Harare yesterday, Information, Publicity and Broadcasting Services Minister Dr Jenfan Muswere said Government is also implementing a “use it or lose it” policy, urging holders of unsed mining titles, particularly in chrome, to take the necessary actions to align with new regulations.

The move seeks to bolster the ferrochrome industry in Zimbabwe, which is crucial for the production of stainless steel. Government’s focus is on enhancing local capacities rather than relying on external markets.

The country has about 10 ferrochrome producers with capacities ranging from 3 000 to 84 000 tonnes per annum, totalling an estimated capacity of 270 000 tonnes per annum.

“With immediate effect, the issuance of new chrome mining title above 100ha has to be linked to the expansion or development of new furnace capacity,” said Dr Muswere.

“Cabinet re-affirmed the ban on the export of chrome ores, and stressed the need to develop the ferrochrome industry locally.

“The Ministry of Mines and Mining Development will be strengthening the implementation of the use it/lose it principle, and holders of all unutilised mining titles, chrome in particular, are requested to take note of the Government position.”

Dr Muswere said the Palm River Project, commissioned in February by President Mnangagwa, now has an operational production capacity of 100 000 tonnes per annum. It is in the process of ramping up to a design capacity of 1 000 000 tonnes of ferrochrome, which will make it by far the largest producer in the country.

In an update on the mining sector, Mines and Mining Development Minister Winston Chitando reported on the state of the ferrochrome industry, which remains one of the most volatile minerals in terms of pricing.

Dr Muswere said in addition to the chrome sector, Cabinet addressed developments in the lithium sub-sector. Zimbabwe primarily produces spodumene ores, essential for the global energy transition.

Companies such as Bikita Minerals and Arcadia Lithium are advancing plans to establish lithium sulphate value addition facilities, which will enable local beneficiation of lithium ores.

Importantly, starting January 2027, the export of lithium concentrate will be prohibited, further emphasising the Government’s commitment to local processing.

“Zimbabwe lithium ore bodies are multi-element as they contain a number of minerals. Bikita Minerals and Arcadia Lithium are in the process of establishing lithium sulphate value addition facilities in order to beneficiate the lithium ores produced locally.

“With effect from January 2027, the export of lithium concentrate will no longer be allowed,” said Dr Muswere.

The strategic moves by the Government are expected to enhance local production capabilities and reduce dependency on mineral exports, ultimately driving economic growth and sustainability in the sector.

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