Business / Economy
Miners’ body calls for repossession of idle mines
10 Dec 2010 at 13:24hrs | Views
The Zimbabwe Miners' Federation has called on Zanu-PF to play a leading role in repossessing idle mining claims held for speculative purposes, and mobilising financial support for its members.
Speaking at a conference held with business leaders on Wednesday, ZMF president Mr Trynos Nkomo said full utilisation of mineral resources would increase the country's export earnings.
"Government must look into this as a matter of urgency and repossess all claims held by conglomerates for speculation," he said.
"These claims have to be released and we are calling for the immediate implementation of the 'use it or lose it' policy," he said.
Mr Nkomo added that the small-scale mining sector required funding to boost the capacity of its 20 000 registered operators.
"If half of the 20 000 are empowered to produce, the sector has potential to produce 30 000kg of gold," he said.
According to statistics from the Chamber of Mines, the gold sector required investment of US$1 billion, platinum US$1,2 billion, ferrochrome US$250 million, coal US$280 million and diamonds US$300 million.
Chamber president Mr Victor Gapare said the US$1 billion would increase gold production to between 40 and 50 tonnes per annum.
Without investment, he said, growth levels being experienced at the moment would only achieve 15 to 20 tonnes per annum.
"With funding gold would soon go back to competing with platinum," said Mr Gapare.
Platinum production in the country has been buoyed by capital injections from foreign investors keen to increase operations in the country that has the third largest reserves of the mineral after Russia and South Africa.
Prices of the metal have been on the increase on the global market with prices hovering at US$I 690 per ounce. ' New Ziana
Speaking at a conference held with business leaders on Wednesday, ZMF president Mr Trynos Nkomo said full utilisation of mineral resources would increase the country's export earnings.
"Government must look into this as a matter of urgency and repossess all claims held by conglomerates for speculation," he said.
"These claims have to be released and we are calling for the immediate implementation of the 'use it or lose it' policy," he said.
Mr Nkomo added that the small-scale mining sector required funding to boost the capacity of its 20 000 registered operators.
"If half of the 20 000 are empowered to produce, the sector has potential to produce 30 000kg of gold," he said.
According to statistics from the Chamber of Mines, the gold sector required investment of US$1 billion, platinum US$1,2 billion, ferrochrome US$250 million, coal US$280 million and diamonds US$300 million.
Chamber president Mr Victor Gapare said the US$1 billion would increase gold production to between 40 and 50 tonnes per annum.
Without investment, he said, growth levels being experienced at the moment would only achieve 15 to 20 tonnes per annum.
"With funding gold would soon go back to competing with platinum," said Mr Gapare.
Platinum production in the country has been buoyed by capital injections from foreign investors keen to increase operations in the country that has the third largest reserves of the mineral after Russia and South Africa.
Prices of the metal have been on the increase on the global market with prices hovering at US$I 690 per ounce. ' New Ziana
Source - New Ziana
