Gwanda Lithium Mine completes new plant

Gwanda Lithium Mine has successfully completed the construction of its multi-million-dollar processing plant and secured an export permit from the Government, paving the way for lithium concentrate shipments to China.

Mines and Mining Development Minister Winston Chitando confirmed the milestone recently in Parliament. The project is among several multi-million-dollar lithium investments Zimbabwe has witnessed in recent years, as global demand for the energy mineral continues to surge.

Zimbabwe's lithium sector has been experiencing significant investments, particularly from Chinese companies. Notable projects include the US$300 million spodumene processing plant at Bikita Lithium Mine and the US$300 million lithium concentrator at the Arcadia project near Harare. These developments position Zimbabwe as a key player in the global transition to clean energy, particularly in electric vehicle (EV) production and renewable energy storage.

Minister Chitando stated that Gwanda Lithium Mine had applied for an export licence after completing its processing plant. "They were given a waiver to proceed pending the approval of the permit," he said.

Since beginning operations in January 2024, the mine has been producing approximately 1,500 tonnes of lithium concentrate per day, underscoring its operational efficiency and potential for growth. Recognizing this significant output, the ministry issued a six-month export licence for a trial shipment of 5,000 tonnes of lithium concentrate to China. This strategic move aims to test and establish viable international markets for the company.

The mine currently employs 300 people, with 80 percent of the workforce being locals. Production is expected to reach one million tonnes of ore and 200,000 tonnes of lithium concentrate annually once the plant reaches full capacity.

The US$54 million mining venture is a subsidiary of Chinese global investor Tsingshan Holdings Limited Group. Tsingshan has made significant investments in Zimbabwe, including the US$1.5 billion Dinson Iron and Steel plant in Mvuma, Midlands Province. The group also operates Dinson Colliery in Hwange, Matabeleland North Province, and Afrochine Smelting in Selous, near Chegutu, Mashonaland West Province.

Dinson had previously expressed interest in setting up a lithium battery manufacturing plant, leading to its acquisition of lithium mining claims in Gwanda. The company will now produce lithium concentrates to support its proposed high-value lithium battery project in Zimbabwe.

Meanwhile, Minister Chitando provided an update in Parliament on mining activities around the Boterekwa area in the Midlands Province. "There are currently two mining companies carrying out activities in the Boterekwa mountains: Chenxi Mining Company and Saironi Mining Company, both of which acquired pre-existing mining locations from previous owners," he said.

Chenxi Mining Company is engaged in surface mining of gold and heap leaching, while Saironi Mining Company conducts underground and surface mining operations, including crushing, milling, carbon-in-pulp (CIP), and elution processes.

The investments in lithium and gold mining sectors underscore Zimbabwe's broader strategy to diversify its mining portfolio. The Government's supportive policies and pro-business approach have encouraged investments in modern processing technologies that enhance production efficiency and improve the quality and marketability of the country's mineral exports.