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Walter Nyamukondiwa in SELOUS
PLATINUM mining giant Zimplats has shelved its $131 million refurbishment of its Selous base metals refinery (BMR) to pave way for the setting up of a national refinery to be used by all mining companies.

The move has been welcomed by Government as advancing its beneficiation and value addition thrust to ensure optimal benefit from the country’s natural resources.

Consultations and a preliminary MoU have been signed by players in the platinum group metals (PGM) sector including Great Dyke Investments, Unki, Zimplats and Mimosa Mines.

Speaking during a familiarisation tour of Zimplats operations by Mashonaland West Minister of State Mary Mliswa-Chikoka, managing director Mr Stanley Segula said plans to set up the plant were at an advanced stage.

“In terms of beneficiation, we are fully supportive of Government’s agenda. Our competitors and colleagues in the platinum mining sector are at different stages; they mine, concentrate and then export to South Africa,” he said.

“As Zimplats we have a BMR that was set up by BHP, we have spent about $24 million and our board had approved that we spend about $131 million to resuscitate it. However, there is new conversation within the economy to put up a group facility to cater for all other players.”

He said Zimplats was supposed to incorporate other facilities to come up with the national refinery including Empress Mine nickel refinery that would cater for all national beneficiation needs.

Mr Segula said the process was being done with the blessing and assistance of Government.

The process, he said, should take about two years to complete with special consideration on available technologies including Kell technology.

“There is an MoU signed with GDI, Unki and Mimosa towards establishment of the national BMR. So after consideration of all the available technologies we should start moving in that regard,” he said.

Mines and Mining Development Deputy Minister Polite Kambamura said Government’s beneficiation drive would be significantly fulfilled by the setting up of the BMR.

“With the President’s thrust for beneficiation of minerals, it is a huge milestone so that we see our minerals being exported at a higher value for the benefit of Zimbabwe.

“Currently, they are exporting to South Africa and have to pay for services and then it is sold at a higher value. It is better that it is done here so that we export at a better value,” he said.

As part of measures to ensure compliance with requirements for beneficiation, the deputy minister said Government was coming up with punitive taxes for those who export unprocessed minerals.

“We believe because of this tax everyone will want to beneficiate before exporting. As Government, we are coming up with means of capacitating the miners so that they set up these refineries in the country,” said Deputy Minister Kambamura.

He said Zimplats should exploit the vast mineral deposits in the Great Dyke for the benefit of the country owing to their business model which has seen them having a footprint in the community they operate.

This follows a request by the platinum giants for more claims as it moves closer to exhausting reserves at some of its mines.

“With the coming in of Karo Resources Mining Company and Great Dyke Investment as major players in the platinum mining sector, the country’s mining sector and indeed the country will not be the same again,” he said.