Zimplats advances Zimbabwe's value-addition drive

Zimplats, one of Zimbabwe's leading platinum group metals producers, is making significant progress toward enhancing value addition and beneficiation in the mining sector through the construction of a new refinery. The company has recently acquired long-lead equipment for the refinery and is actively focusing on installation and construction, which will have a substantial impact on Zimbabwe's export earnings.

The refinery, which will produce nickel sulfate, copper plates, and precious metals, represents a key move towards boosting the country's value-added exports. The expansion is part of a broader vision to transform Zimbabwe's mining industry, which includes the construction of a smelter and other associated facilities.

Speaking during a tour of the company's operations in Mhondoro-Ngezi last week, Mines and Mining Development Minister Winston Chitando highlighted that the value addition project stems from a memorandum of understanding (MoU) between Zimplats and the government. The MoU, valued at US$1.8 billion, aims to increase mining capacity and promote beneficiation in Zimbabwe's mining sector.

"The focus of this particular visit is looking at the value addition aspects of Zimbabwe, as provided for in the MoU, which is the construction of a smelter, which would then provide a feed for the refinery. That is why we are here. As you are aware, value addition and beneficiation are key focuses of the Zimbabwean public," Chitando said.

Minister Chitando expressed satisfaction with Zimplats' progress, noting that the company was fulfilling its commitments under the MoU. He emphasized that Zimplats had already procured all major items needed for the refinery's operation, and some equipment had already begun to be assembled.

"I'm very pleased in the sense that Zimplats did not only sign an agreement but worked on the spirit of the agreement. All the major items to enable the operationalization of the refinery have been procured, and some are starting to be assembled," Chitando added. "The next stage is to have some of the service and ancillary equipment put up and then the assembly of the various items."

Zimplats' Chief Technical Officer, Amend Chiduma, provided further insight into the expansion project, which is valued at US$3.98 million. He stressed that the development of new mines and upgrading of existing ones was a crucial part of the value chain, ensuring a steady supply of ore for the refinery.

"We started off by building up the base, starting with the mines, where we will be developing and upgrading two big mines. We have already completed one of the mines, which cost about US$82 million. We are also on course to complete the development and upgrade the second big mine, which ensures that in terms of our ore sources, it becomes sustainable," Chiduma explained.

Additionally, Zimplats is upgrading its power infrastructure as part of the expansion. Chiduma revealed that a new substation was being built with an investment of US$17 million to support the growing energy demands of the refinery and other facilities, including a solar farm to enhance the company's energy efficiency.

He also highlighted that the smelter expansion would significantly increase Zimplats' processing capacity, with the smelter's capacity expected to triple. This will open up new avenues for the company to process concentrates more efficiently.

"This expansion is almost three times the smelting capacity that we had. This opens up a lot of avenues in terms of being able to process the concentrates in the most efficient manner," Chiduma noted.

Zimplats' efforts to expand its operations and enhance value addition align with Zimbabwe's broader vision to increase mineral beneficiation, reduce the export of raw materials, and enhance the country's export earnings. The development of the new refinery and smelter is expected to play a pivotal role in achieving these goals, positioning Zimplats as a key player in the global platinum market.