Zim mineral production increases

year.
Addressing delegates at the third edition of the Zimbabwe Mining Indaba, the Chamber of Mines president Mr Winston Chitando said platinum production rose to 161 000 ounces in the first half, representing a 21 percent increase compared to the same period last year.
Gold production increased by 37 percent in the first half of the year as compared to 2010 figures.
Gold production is projected to reach 13 000 kilogrammes by the year-end.
“Platinum production increased due to improved production capacities and a slight improvement in the supply of electricity,” he said.
He added that the improvement in production was also on the back of an improving macro-operating environment.
The Chamber of Mines president also noted that coal production increased by 1,46 million tonnes for the first seven months of the year while it is expected to end the year at 2,5 million tonnes.
However, some minerals failed to perform to expectations. These include asbestos, iron ore and phosphate rock.
Mr Chitando said the sector was still facing challenges, especially with regard to power outages and constrained liquidity.
“The challenges around funding are still there. Financial products are short term and limited, hence loans are available only for working capital, which is inadequate,” he said.
In respect of energy, the chamber was working closely with the Zesa Holdings to ensure adequate energy supplies to mines.
Generally, local mining houses have been benefiting from improved power supply following the prioritisation and subsequent ring fencing of miners for targeted power supply by the Zesa Holdings.
As at end of April, Zesa Holdings had ring-fenced the country’s 22 major mines.
Despite perceived risk in the local minerals sector, mining companies have continued to invest into their operations over the past 18 months.