Local Platinum Producers Considering Constructing A Precious Metals Refinery
Sun Nov 06 2022
Local platinum producers are considering pooling resources to construct a precious metals refinery. Mimosa Mining Company general manager, Mr Stephen Ndiyamba, told The Sunday Mail Business that it makes economic sense to collaborate with other platinum miners. Ndiyamba said:
Chamber of Mines of Zimbabwe chief executive officer, Mr Isaac Kwesu, indicated that “the miners are already smelting some of their platinum and sending it out as matte, but with more production, they would need to reduce costs by pooling resources (to build a refinery)”.
Most platinum producers currently export platinum in concentrate form, with only Zimplats beneficiating it to matte. Analysts say the establishment of a refinery would significantly increase revenue from platinum since the country hosts huge platinum deposits.
Zimbabwe has the second-largest platinum deposits in the world after South Africa and has been pushing mining firms operating in the country to build beneficiation facilities. In 2015, the Government imposed a 15 per cent tax on raw platinum exports to encourage companies to beneficiate the mineral locally.
The levy was later suspended after the miners agreed to a timeline to build local facilities. In 2020, Treasury announced a new tax that was supposed to be effective early this year, but it was deferred to January 2023.
Platinum miners currently export the mineral largely in the raw or semi-processed state to South Africa for refining.