Business / Companies
Mugabe to ban raw platinum exports to SA
11 Nov 2013 at 09:30hrs | Views
Zimbabwe will soon ban mining companies operating in that country from exporting raw platinum to South Africa, President Robert Mugabe said.
According to The Herald, Mugabe said the Zimbabwean government through the Zimbabwe Mining Development Corporation "will now take an active role in mining of diamonds and ban all exports of raw platinum until companies in the sector build a refinery".
"Let us close our doors immediately and say no raw platinum will go to South Africa," he said, adding that this will ensure Zimbabwe gets the maximum returns from its resources.
Platinum producing companies in Zimbabwe - Impala-owned Zimplats, Aquarius-owned Mimosa, and Anglo-owned Unki - currently send their raw platinum to South Africa for processing.
Former mines and mining development minister Obert Mpofu reportedly gave platinum miners a two-year ultimatum to set up a refinery, and they are reportedly working on one.
"The former minister gave them two years and we must see them now arranging to build a refinery. If they have not started, after that warning, when the time comes for us to demand that all refining has to be done here they should not blame us," he said.
In line with the developments, the Platinum Producers Association of Zimbabwe has already completed the feasibility study for a platinum refinery in line with government's demand for the local beneficiation of high-value minerals prior to export.
The refinery is expected to cost at least US$2bn.
Earlier this year, Zimplats CEO Alex Mhembere said platinum producers will need a minimum production rate of 500 000 pt ounces per year if the country is to set up a platinum refinery.
He said there would be need for an addition 100 MW of power, which means the platinum sector would require 400 MW.
Two refineries need to be installed: one for base metals which separates nickel, copper and cobalt; and a precious metals furnace which separates nine different metals, including platinum, palladium, gold and rhodium.
According to The Herald, Mugabe said the Zimbabwean government through the Zimbabwe Mining Development Corporation "will now take an active role in mining of diamonds and ban all exports of raw platinum until companies in the sector build a refinery".
"Let us close our doors immediately and say no raw platinum will go to South Africa," he said, adding that this will ensure Zimbabwe gets the maximum returns from its resources.
Platinum producing companies in Zimbabwe - Impala-owned Zimplats, Aquarius-owned Mimosa, and Anglo-owned Unki - currently send their raw platinum to South Africa for processing.
Former mines and mining development minister Obert Mpofu reportedly gave platinum miners a two-year ultimatum to set up a refinery, and they are reportedly working on one.
"The former minister gave them two years and we must see them now arranging to build a refinery. If they have not started, after that warning, when the time comes for us to demand that all refining has to be done here they should not blame us," he said.
In line with the developments, the Platinum Producers Association of Zimbabwe has already completed the feasibility study for a platinum refinery in line with government's demand for the local beneficiation of high-value minerals prior to export.
The refinery is expected to cost at least US$2bn.
Earlier this year, Zimplats CEO Alex Mhembere said platinum producers will need a minimum production rate of 500 000 pt ounces per year if the country is to set up a platinum refinery.
He said there would be need for an addition 100 MW of power, which means the platinum sector would require 400 MW.
Two refineries need to be installed: one for base metals which separates nickel, copper and cobalt; and a precious metals furnace which separates nine different metals, including platinum, palladium, gold and rhodium.
Source - news24
