Staff Reporter
President Emmerson Mnangagwa has challenged mining houses to increase investments in their operations for the realisation of maximum value from Zimbabwe’s mineral resources.
Speaking during the Commissioning of the Blanket Gold Mine Central Shaft Expansion in Matebeleland South, President Mnangagwa said the mining sector continues to be a source of employment for people across all provinces whilst also impacting positively on the Provincial Gross domestic product (GDP).
“I challenge other mining houses to increase investments in their operations for the realisation of maximum value from our mineral resource base for the good of the economy and our people in general.
“The growth of the mining sector continues to provide decent new jobs for our people across all provinces and is positively impacting on the Provincial GDP growth,” said President Mnangagwa.
According to President Mnangagwa, on its part, Government has enacted the physical collection of half of the royalties in physical stocks. This will ensure that there is currency stability and it will also create a stable and favourable operating environment for business.
“As Government, we have made a bold decision to ensure that every citizen of Zimbabwe benefits from our rich resource endowment, now and into the future. Hence, from the 1st October, the collection of half of the royalties from gold, diamonds, platinum and lithium, among other precious stones and valuable metals, shall be made in the form of the physical stocks of the mineral concerned.
“This policy will undoubtedly have ripple effects on currency stability and benefit from the envisaged positive output growth across all minerals on the back of firm commodity prices and a conducive operating environment,” said the President.
President Mnangagwa also commended Blanket Mine for upholding the Second Republic’s policy of increasing green energy by incorporating a Solar Plant to power its operations. He also assured investors that Government is aware and seized with increasing power generation in order to foster uninterrupted production.
At CoP 27 in Egypt, President Mnangagwa witnessed the signing of a 500 MW Solar Plant agreement between Government and Sky Power.
The growth and expansion of Blanket Mine has resulted in an increase of workers by 200 percent, boosting the numbers from 500 to 1 600 workers, whilst revenue has also increased from US$123 million per annum to over US$148 million, respectively. Targeted gold production is also set to be boosted to 80 000 ounces of gold per annum. These projected targets are expected to assist in achieving a target of 60 tons of gold by 2023 thereby boost Second Republic’s agenda of attaining US$12 billion mining industry by 2023.
