Zimplats’ Bimha Mine to cease operations Zimplats

zimplatsBusiness Reporter
Impala Platinum Mines’ Zimbabwe unit, Zimplats, could lose up to 70 000 ounces from its production after stopping all mining operations at its collapsed Bimha Mine. A decision has been made to cease all mining operations at the mine with immediate effect, the country’s biggest platinum mining entity said in a statement.

“Zimplats wishes to inform shareholders and other stakeholders that a decision has now been made to cease all mining operations at the Bimha Mine with immediate effect in order to safeguard the safety of underground personnel and equipment,” Zimplats said.

“At this stage, there is a possibility that the company’s overall production could be adversely affected by up to 70 000 platinum ounces as a result of closing the Bimha Mine,” the platinum extractor added.

Production from the other three mines is not expected to be affected and the ramp-up of new mine, Mupfuti continues as planned. In addition, two mining fleets from the Bimha Mine have already been deployed to the other mines to mitigate production losses.

Zimplats produced 240 000 ounces in the 2014 financial year.
Chief executive Mr Alex Mhembere told a recent analyst and media briefing that rehabilitating the mine was expected to cost about $19 million.

Mr Mhembere said then, that production loss for Bimha mine was expected to be 9,5 percent in 2015 and would be reduced to 3 percent in over the ensuing years.

The fault affected about 50 percent of the area at Bimha.
In July 2014, a collapse within a section of the underground working area of the Bimha Mine was triggered by the accelerated deterioration of ground conditions associated with a major fault, the Mutambara Shear, which transgresses the mining area.

Zimplats said over recent weeks, ground conditions have continued deteriorating and, as a consequence, it has been decided to withdraw employees in high-risk areas with immediate effect and to implement orderly closure procedures across the rest of the mine.

A team of company and independent advisors has been appointed to conduct detailed investigations to re-engineer and/or arrest the mine stability concerns at Bimha Mine.

Interrupted production at one of Zimplats biggest mines could negatively affect the country’s national platinum output potential of about 430 000 per annum.

Zimbabwe has three producing platinum mines namely Zimplats, Mimosa and Unki Mine, situated along the country’s mineral rich belt of the Great Dyke.

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