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Zimbabwe is technically one of the richest countries in the world as it has the highest untapped natural resources per person. Time and time again we have heard that the country has more than 40 exploitable minerals all of which could bring about huge economic development. However, often-times opportunities in the sector have been missed while those that were embraced like the Chiadzwa diamonds were not met with the required development.

What has been dominant over all the years has been TALK.

We have talked about the second largest platinum reserves in the world. We have talked about enormous diamond wealth, our rich gold belts. We have also talked about huge natural gas reserves and our high grade chrome. We talked about Mhangura until it closed. We have talked about the rare earth minerals which include lithium which the Mines and Mining Development Deputy Minister yesterday said had potential to transform the Zimbabwean economy.

Deputy Minister Fred Moyo said new discoveries of lithium deposits had been made in areas surrounding Harare with many companies already jostling for licenses. Apart from the new discoveries, Bikita Minerals and Premier Africa are already mining the resource, while Kamativi Tin Mine also holds vast deposits. Other deposits are found in Mberengwa and Mutoko.

Deputy Minister Moyo said Government was shifting focus to lithium following an increased demand for the mineral resulting from surging global prices. He said exploitation of the resource could be a breakthrough for Zimbabwe.

The deputy minister is spot on because lithium is driving much of the modern world. It forms a small, but essentially irreplaceable component of rechargeable batteries, used in consumer devices like mobile phones and electric cars. It also has pharmaceutical and other applications.

According to media reports, battery applications are expected to underpin the growth for lithium in the foreseeable future with prices expected to reach $10 000 per tonne. Electric vehicle developments are also expected to spur consumption of the mineral.

We believe the sector has potential to drive Zimbabwe’s economy. But the point we would like to put across is Government should ensure there is order right from issuance of licences up to the actual mining of the resource and the linkages it would provide to the economy.

However, as is the case from past experience, the decision chain from the discovery of minerals to their conversion into a productive economy is long and complex often mired in disorder and corruption.

We urge authorities to be vigilant on investors they would bring on board and ensure all mining activities are executed in a transparent manner. The mistakes of the past can be avoided and we must get it right this time around.

Government has been shortchanged in certain mineral deals such as diamonds because they didn’t know the value of its resource. It’s also necessary that Government understands the difference between working capital and equity capital as there was an outcry last year when the Ministry of Mines announced that ZMDC had signed a $102 million agreement with Chinese Company Beijing Pingchang over the revival of Kamativi Mine.

Experts last year said Zimbabwe could have been cheated as the mine hold rare earth mineral deposits including lithium.

More importantly, Zimbabwe should invest in exploration to unearth more lithium reserves. Government has to invest and look for the exploration dollar and overall start new measurements on claims when they know the true value of the resources. Quantification and valuation should be done before giving out licences to the “jostling investors”.

The country also needs to improve its licensing system and operationalise the cadastre system. Zimbabwe needs to understand the new things and question why certain things have not happened in the past e.g with the diamonds or the gas. Only then can we move forward in terms of unlocking value for the economy. Talk is easy, action is something else.