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Mutapa Resources secures US$300m for lithium, targets 110,000oz gold in expansion push
5 hrs ago |
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Patrick Shayawabaya, CEO Mutapa Gold Resources
HARARE - State‑owned Mutapa Resources yesterday announced two major investment moves expected to boost Zimbabwe's mining revenue, securing US$300 million for lithium development and lining up a US$212 million expansion programme in gold.
Mutapa Energy Resources has closed a US$300 million deal with a group of investors, including Chinese firms, to develop its Sandawana lithium project in the southern region. "It's a done deal," Mutapa Energy CEO Innocent Rukweza said. He added that the company has already mined 2 million tonnes of ore at Sandawana and is constructing a plant capable of processing 3 million tonnes of lithium ore per year.
The funding comes as Zimbabwe — which accounted for about 10 percent of global mined lithium last year — pushes to process more battery‑grade minerals locally rather than exporting raw concentrate.
On the gold side, Mutapa Gold Resources CEO Patrick Shayawabaya unveiled a US$212 million expansion programme across Shamva, Freda Rebecca and Jena mines. "We are targeting 3,400kg or 110,000 ounces of gold in 2026," he said. At current prices of around US$4,100 per ounce, this could translate to roughly US$500 million in revenue.
Shayawabaya said construction of the US$162 million Shamva Hill Project will begin next month, lifting Shamva's output from 66kg to 200kg per month. Processing ore at source will also free up capacity at Freda Rebecca, pushing its monthly output to 270kg.
The announcements follow Mutapa Gold's recent declaration of a maiden US$35 million dividend, with Mutapa Investment Fund CEO Dr John Mangudya saying the split from the former Kuvimba Group is "delivering results".
The twin deals come as Government maintains its target of 50 tonnes of gold this year and continues to prioritise value addition in critical minerals, reinforcing broader conversations around Zimbabwe lithium investment and gold sector expansion.
Mutapa Energy Resources has closed a US$300 million deal with a group of investors, including Chinese firms, to develop its Sandawana lithium project in the southern region. "It's a done deal," Mutapa Energy CEO Innocent Rukweza said. He added that the company has already mined 2 million tonnes of ore at Sandawana and is constructing a plant capable of processing 3 million tonnes of lithium ore per year.
The funding comes as Zimbabwe — which accounted for about 10 percent of global mined lithium last year — pushes to process more battery‑grade minerals locally rather than exporting raw concentrate.
On the gold side, Mutapa Gold Resources CEO Patrick Shayawabaya unveiled a US$212 million expansion programme across Shamva, Freda Rebecca and Jena mines. "We are targeting 3,400kg or 110,000 ounces of gold in 2026," he said. At current prices of around US$4,100 per ounce, this could translate to roughly US$500 million in revenue.
Shayawabaya said construction of the US$162 million Shamva Hill Project will begin next month, lifting Shamva's output from 66kg to 200kg per month. Processing ore at source will also free up capacity at Freda Rebecca, pushing its monthly output to 270kg.
The announcements follow Mutapa Gold's recent declaration of a maiden US$35 million dividend, with Mutapa Investment Fund CEO Dr John Mangudya saying the split from the former Kuvimba Group is "delivering results".
The twin deals come as Government maintains its target of 50 tonnes of gold this year and continues to prioritise value addition in critical minerals, reinforcing broader conversations around Zimbabwe lithium investment and gold sector expansion.
Source - Byo24News
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