Business / Companies
Zimbabwe will not pay Zimplats for land grab
24 May 2013 at 03:32hrs | Views
GOVERNMENT will not use taxpayers' money to pay for the 27 948 hectares of excess platinum holding land from Zimplats, Mines and Mining Development Minister Obert Mpofu has said.
Minister Mpofu spelt out the Government's position on Wednesday at a consultative meeting on the Draft Minerals Policy to guide the crafting of a new mining law.
Government has set out to repossess the platinum reserves held by Zimplats because the 87 percent- owned unit of Impala Platinum, at 120 000-200 000 ounces per annum, will take 400 years to exhaust the reserves.
Minister Mpofu said Government had engaged Zimplats, which has already taken the Government to court over the State's plan to repossess excess ground it holds, to find an amicable solution to the dispute.
"We are engaging Zimplats over the issue of excess land taken away for free," Minister Mpofu said. "We are appealing for co-operation. It is land that belongs to the people of Zimbabwe. The land cannot be paid from taxpayers' money. The land was gotten from us for free and we will not compromise on that."
Minister Mpofu warned that if anyone had bought land from any holder outside the approved Government procedure they should "brace for a bruising fight".
"If anyone of us thinks they own land, please prepare for the shocks that will befall you. Even I don't give mining grants . . . that is done by the President ' he is the ultimate custodian of Zimbabwe's land," he said.
Earlier this year Minister Mpofu said the repossession of the 27 948ha was meant to free land - enough for five more big investors - that would not be developed in the near future, but that can be used to unlock economic value.
The minister said the exercise would be spread across the entire mining sector as Government sought to ensure the mining sector unleashed its full potential and contributed to domestic economic growth.
Government has also of late sought to flex its muscles and send a clear message, as provided for in the law, that investors in Zimbabwe only obtain rights to extract minerals, but not a right to own assets in the ground.
It is against this background that Deputy Prime Minister Arthur Mutambara, during the 74th Annual General Meeting of the Chamber of Mines of Zimbabwe last week, said that what investors pay for the right to mine should be linked to the value of the mineral resouces they seek to exploit.
In the past, investors would only pay nominal fees after applying for claims and then get access to millions or billions of dollars worth of assets.
Minister Mpofu spelt out the Government's position on Wednesday at a consultative meeting on the Draft Minerals Policy to guide the crafting of a new mining law.
Government has set out to repossess the platinum reserves held by Zimplats because the 87 percent- owned unit of Impala Platinum, at 120 000-200 000 ounces per annum, will take 400 years to exhaust the reserves.
Minister Mpofu said Government had engaged Zimplats, which has already taken the Government to court over the State's plan to repossess excess ground it holds, to find an amicable solution to the dispute.
"We are engaging Zimplats over the issue of excess land taken away for free," Minister Mpofu said. "We are appealing for co-operation. It is land that belongs to the people of Zimbabwe. The land cannot be paid from taxpayers' money. The land was gotten from us for free and we will not compromise on that."
Minister Mpofu warned that if anyone had bought land from any holder outside the approved Government procedure they should "brace for a bruising fight".
Earlier this year Minister Mpofu said the repossession of the 27 948ha was meant to free land - enough for five more big investors - that would not be developed in the near future, but that can be used to unlock economic value.
The minister said the exercise would be spread across the entire mining sector as Government sought to ensure the mining sector unleashed its full potential and contributed to domestic economic growth.
Government has also of late sought to flex its muscles and send a clear message, as provided for in the law, that investors in Zimbabwe only obtain rights to extract minerals, but not a right to own assets in the ground.
It is against this background that Deputy Prime Minister Arthur Mutambara, during the 74th Annual General Meeting of the Chamber of Mines of Zimbabwe last week, said that what investors pay for the right to mine should be linked to the value of the mineral resouces they seek to exploit.
In the past, investors would only pay nominal fees after applying for claims and then get access to millions or billions of dollars worth of assets.
Source - theherald
