Zimbabwe: High Court Rules in Favour of Chinese-Owned Chengbao Mining in Bitter Mberengwa Mine Dispute

The Bulawayo High Court has handed a decisive victory to Chinese-owned Chengbao Mining (Pvt) Ltd, declaring its tribute agreement over C-Mine in Mberengwa valid and binding, while ordering rival parties to vacate the disputed site and account for minerals already extracted.

In a recent judgment, Justice Bongani Ndlovu ruled that Chengbao's October 2024 agreement with Anesu Gold (Pvt) Ltd remained in force, despite claims by Anesu Gold and miner Allen Sibanda that the deal had been cancelled.

"It is declared that the Tribute Agreement ... is still valid and effective, and binding on the 1st Respondent and the Applicant," Justice Ndlovu said, stressing that the contract could not be unilaterally cancelled outside its agreed procedures.

The dispute erupted in November 2024 when Anesu Gold, which had already signed a tribute agreement with Chengbao Mining, went on to enter a separate arrangement with Sibanda, giving him control of the same mining claims. Chengbao accused Anesu Gold of double-dealing, while Sibanda claimed the first deal had been cancelled.

The wrangle quickly escalated on the ground, with both parties moving equipment and workers onto the site. Chengbao maintained that it had invested heavily in infrastructure and environmental certification under the original contract, while Anesu Gold and Sibanda insisted the agreement was no longer binding.

The court found that Anesu Gold had improperly attempted to replace Chengbao with Sibanda under a rival tribute arrangement, despite the existing deal.

"I find no basis to accept the 1st respondent's version that the 2nd agreement was entered into only for the purpose of obtaining an EIA certificate. This court will not rewrite the agreement for the parties, but will give effect to it, adhering to the cardinal rule of pacta sunt servanda," ruled Justice Ndlovu.

As part of the order, Sibanda and all those claiming through him must remove their mining equipment from C-Mine, failing which the Sheriff and police will forcibly evict them. The court also directed both Sibanda and Anesu Gold to account for all minerals extracted since November 2024, with a chartered accountant appointed to audit the proceeds.

"What the applicant would have managed to gain from the mining activities ... ought to be accounted for and returned," the judge ordered.

Read the original article on New Zimbabwe.