News / National
Zimbabwe aims to maximize gold revenue amid global demand surge
17 Sep 2024 at 06:49hrs | Views
The Ministry of Mines has officially launched the 2024 Second Gold Mobilisation exercise, a strategic initiative designed to ensure compliance and optimize revenue from Zimbabwe's gold mining sector. The exercise will be conducted across all eight provinces, targeting both large-scale and small-scale miners.
The 2024 gold output is projected to reach 39 tons, an increase from the 33 tons estimated for 2023, driven by ongoing expansion projects and favorable global gold prices. With gold revenues expected to exceed US$3 billion in 2024, the sector’s capacity utilization is also set to improve significantly, with projections of reaching 95% compared to 84% in the previous year.
At the send-off workshop in Harare, Mines Minister Winston Chitando emphasized the critical role gold plays in Zimbabwe's economic landscape. "Gold has long been a source of wealth and prosperity for Zimbabwe, holding immense potential to fuel our economic growth, create jobs, and enhance the lives of Zimbabweans," Chitando said. He noted that global demand for gold is surging, with prices climbing from $1,900 per ounce in September 2023 to the current $2,500.
Chitando outlined that the goal for 2024 is to achieve a gold deliverance target of 35 tonnes, stressing the need to address and plug leakages to side markets that undermine revenue potential. Illegal gold extraction and trading are significant challenges that the exercise aims to combat by ensuring all gold is traded through legitimate channels.
"Zimbabwe's currency is anchored on gold, making it imperative that all gold trades occur through Fidelity Gold, the country’s sole authorized exporter," Chitando added. He praised the effectiveness of previous gold neutralization exercises and reiterated the importance of the gold sector to Zimbabwe's national economic development.
In 2023, gold deliveries through Fidelity Gold Refinery stood at 30.1 tonnes, with 20.7 tonnes delivered from January to August 2024. The minister concluded with a call for success in the mobilization effort, highlighting its crucial role in increasing revenue, creating employment, and curbing illegal gold trading.
The 2024 Gold Mobilisation exercise marks a significant step towards harnessing Zimbabwe's gold resources more effectively and ensuring that the benefits of the sector are fully realized.
The 2024 gold output is projected to reach 39 tons, an increase from the 33 tons estimated for 2023, driven by ongoing expansion projects and favorable global gold prices. With gold revenues expected to exceed US$3 billion in 2024, the sector’s capacity utilization is also set to improve significantly, with projections of reaching 95% compared to 84% in the previous year.
At the send-off workshop in Harare, Mines Minister Winston Chitando emphasized the critical role gold plays in Zimbabwe's economic landscape. "Gold has long been a source of wealth and prosperity for Zimbabwe, holding immense potential to fuel our economic growth, create jobs, and enhance the lives of Zimbabweans," Chitando said. He noted that global demand for gold is surging, with prices climbing from $1,900 per ounce in September 2023 to the current $2,500.
Chitando outlined that the goal for 2024 is to achieve a gold deliverance target of 35 tonnes, stressing the need to address and plug leakages to side markets that undermine revenue potential. Illegal gold extraction and trading are significant challenges that the exercise aims to combat by ensuring all gold is traded through legitimate channels.
"Zimbabwe's currency is anchored on gold, making it imperative that all gold trades occur through Fidelity Gold, the country’s sole authorized exporter," Chitando added. He praised the effectiveness of previous gold neutralization exercises and reiterated the importance of the gold sector to Zimbabwe's national economic development.
In 2023, gold deliveries through Fidelity Gold Refinery stood at 30.1 tonnes, with 20.7 tonnes delivered from January to August 2024. The minister concluded with a call for success in the mobilization effort, highlighting its crucial role in increasing revenue, creating employment, and curbing illegal gold trading.
The 2024 Gold Mobilisation exercise marks a significant step towards harnessing Zimbabwe's gold resources more effectively and ensuring that the benefits of the sector are fully realized.
Source - NewZimbabwe
