13 December 2012

Zimbabwe: Gold Spurs Mineral Output

Zimbabwe has produced minerals worth US$1 603 billion for the 10 months to October this year mainly driven by gold production, statistics from the Chamber of Mines have revealed. Gold production which is forecast to close the year at 15 000 kg for the year under review, was 12 477 kg worth US$657,6 million mainly on the back of increases in exploration activities at some of the country's leading mines.

The Chamber of Mines said Freda Rebecca was now the largest gold producer in the country after it passed its targeted of 72 000 oz annual production.

Investments in exploration at mines such as Blanket Mine, New Dawn mines and Duration Gold have also led to a record gold production this year.

In 2011, the country generated US$2,013 billion from minerals. Platinum production for the ten months was at 9 210 kg, generating US$404,71 million in the process against US$532,27 million total platinum production earned in 2011.

It is believed that the mining industry requires US$10 billion in the next five years to recover.

Currently the mining sector is believed to be contributing 13 percent of the country's gross domestic product (GDP).

Analysts believe if key challenges facing the mining sector such as inadequate capital and energy supply constraints are addressed, mining could contribute as much as 18 percent to GDP by 2015 and well above 25 percent by 2020.

New Ziana

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