Harare — ZIMBABWE'S revenue from minerals rose 43,6 percent in the first quarter, spurred by platinum sales from Zimbabwe Platinum Mines, which contributed the bulk of the earnings.

Statistics from the Minerals Marketing Corporation of Zimbabwe, a Government arm responsible for marketing all minerals except gold and silver, indicate the country grossed US$227,7 million, up from US$158,6 million in the same period last year.

Platinum exports from Zimplats, the country's largest platinum mine, rose 93 percent to US$105,142 million, up from US$35,2 million last year. Zimplats' output rose 93 percent.

Earnings from Mimosa Platinum surged 17 percent to US$71,4 million from US$40,976 million last year.

Platinum prices rose 57 percent last year but were subdued during the better course of 2009, due to the global financial crisis.

Prices remained weak mainly due to a slump in the motor vehicle sector globally with sales collapsing in Western economies and slowing sharply in the emerging economies.

However, the recent rise in motor vehicle manufacturing in North America, Japan, India and China has triggered expanded output of platinum worldwide and pushed spot and futures prices of palladium and platinum higher.

The 2010 first quarter average for platinum was US$1 564 per ounces.

Nickel and granite sales declined 11 percent and 35 percent respectively. Bindura Nickel Corporation, the biggest nickel producer in the country, remains on care and maintenance.

Coal-related products contributed about US$11,4 million to overall mineral exports; chrome made US$6,7 million; diamonds earned US$8,8 million; and other minerals contributed US$5 million.

However, revenue and output growth registered during the first quarter of 2010 could slow, with mining analysts predicting the projected 40 percent growth in the industry unachievable.

Power cuts, labour disputes, loss of skilled workers and inadequate working capital are among factors slowing growth in mines.

The uncertainty has been worsened by the promulgation of the indigenisation law and the sector has not had access to long-term finance for new projects or production expansion.