Zimbabwe’s mining boom: From blueprint to billions

Nyashadzashe Ndoro

Zimbabwe’s mining sector is experiencing a surge, driven by government investment and a focus on attracting foreign capital, says Farai Marapira, Zanu PF director for information.

In a statement on Tuesday morning, Marapira highlighted the mining sector’s role in achieving Vision 2030, the country’s economic development plan.

A blueprint unveiled in 2019 outlined a strategy to revitalise the sector and create a US$12 billion industry. The plan includes investments in exploration, new mine development, and value addition of minerals. Diamonds, gold, lithium, and chrome are just a few of the minerals targeted for growth.

Marapira said the government’s commitment is paying off adding that significant revenue growth, with earnings from minerals reaching US$9.77 billion in 2023, a substantial jump from $3.5 billion in 2020 have been recorded.

He adds that President Emmerson Mnangagwa emphasised the creation of a welcoming environment for investors, resulting in substantial investment.

The politician said by 2022, a combined US$6 billion in new mining investments had been secured. He said these investments have not only boosted the economy but also created jobs for Zimbabweans.

Marapira noted specific examples, including a US$6.94 billion project by Ajako United Ltd for mining gold, lithium, and other minerals, and a US$1.4 billion investment in gold mining by Innermost Resources Zimbabwe Ltd.

Exploration efforts are also underway, with Australia-listed Invictus Energy commencing oil and gas well drilling. It is widely believed that a successful project could position Zimbabwe as a major gas producer.

The government has since pledged to prioritise transparency and efficiency. The Automated Cadastre Information System expedites mining title registration and management, while a ban on raw lithium exports aims to promote beneficiation within the country. Zimbabwe aims to become a major player in the lithium market, capitalising on the global shift towards clean energy.

Many mining projects have been designated “National Status” to streamline procedures and improve the business environment. With mining contributing 80% of exports and 13% of GDP, the sector is a powerful driver of Zimbabwe’s economic growth.