Saturday , October 23 2021

Zimbabwe announces bidding winners of mining assets in two weeks: The Zimbabwe Mail



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HARARE – Zimbabwe will announce in two weeks to the people who have been awarded the assets owned by the state mining company ZMDC, including gold mines, said the mines minister on Monday, adding that more companies would be available at the end of November.

Selling troubled state-owned companies, locally known as parastatal, is part of the most important reforms of President Emmerson Mnangagwa to reduce government spending.

The Minister of Mines, Winston Chitando, told a parliamentary committee that after announcing the winning bidders for their six mines, Zimbabwe Mining and Development Corporation (ZMDC) will be selling its 20 remaining assets later this month.

ZMDC will be sold directly or seek joint ventures for mines, most of which are operating below capacity or under the care and maintenance, said Chitando.

Caledonia Mining Corp, which already operates in London, already has the Manta mine in southern Zimbabwe, is among the offerers of the two gold mines.

"As a government, we want to see each and every one of the assets owned by ZMDC entering production," said Chitando.

Gold is the only largest mineral export in Zimbabwe. Bullion production reached a record high of 994.726 ounces between January and October this year, compared to 952.397 ounces for 2017, said Chitando.

Small-scale producers, who are paid in cash for their shipments to a central subsidiary of the bank, now represent 61 percent of total gold production in Zimbabwe, according to the Ministry of Mines.

The big gold miners, however, say their operations are being hampered by the shortage of US dollars, which forced last month RioZim to temporarily close their mines. – Reuters

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