Zimbabwe produced 18.6 t of gold in 2015, a 33.8% increase on the 13.9 t produced in 2014, according to the country’s principal gold buyer and refiner, Fidelity Refiners & Printers.
Last year’s output was also 2 t higher than the target set by the country’s gold producers. Early in 2015, the Chamber of Mines of Zimbabwe set a production target of 16.7 t.
The output increase was achieved despite a harsh business environment characterised by tight liquidity, power cuts and a heavy tax regime.
The production statistics show a remark- able overall recovery of the large-scale mining sector, which is dominated by foreign mining houses and a fluctuation in production from government-subsidised smaller-scale operators, who comprise largely informal alluvial miners. The major mining houses produced 11.1 t, while small-scale miners contributed 7.5 t.
In a statement, Fidelity Printers & Refiners CEO Frederick Kunaka says that the sector looks set to achieve or exceed government’s 2016 production target of 24 t, despite operational challenges and volatility in global commodity markets.
“The target of 24 t is achievable. Considering the incentives given to the gold mining sector, which include a reduction in royalties
and the promised review and/or rationalisation of the various statutory fees during the first quarter of 2016, the 24 t is achievable.”
However, representatives of both large- and small-scale miners have warned that the ambitious 2016 production target may not be achie- vable, owing to falling commodity prices and the worsening state of the local economy.
Addressing small-scale miners in Bulawayo recently, Mines and Mining Development Deputy Minister Fred Moyo said government was trying to devise ways to boost gold production.