Gold Deliveries Soften in May, But Annual Growth Shines Thanks to Small-Scale Miners

ZimNow Reporter

Zimbabwe’s gold deliveries to Fidelity Gold Refinery dipped by 9.48% in May 2025 to 3,488.06 kilograms, falling from 3,853.58 kg in April, according to newly released data.

Despite the month-on-month decline, annual figures showed a strong rebound, with gold deliveries up 27.6% compared to May 2024, when 2,734.13 kg were recorded.

The artisanal and small-scale mining (ASM) sector once again dominated output, contributing 2,552.10 kg in May. This represented a 12.77% drop from April, but a remarkable 52.06% increase over the same period last year. The figures reaffirm ASM’s central role in the country’s gold production, even as it grapples with rising operational costs and persistent power supply challenges.

 

In contrast, large-scale producers delivered 935.96 kg, a modest rise from April’s output but 11.34% lower than May 2024. Analysts attribute this to structural inefficiencies, including high production costs and limited investment, which continue to hamper performance in the formal mining sector.

“Price has become the curse on quantities. I noticed makorokoza have reduced tonnage delivered for milling since now a gram pays almost double yester year's price,” noted mining analyst @Muriuki on X, reflecting on shifting dynamics in the ASM space.

 

April 2025 marked the year’s peak monthly output so far, with ASM miners responsible for nearly 76% of deliveries. Over the first quarter of 2025, total gold deliveries rose 40.5% year-on-year to 8,496.41 kg, with ASM output nearly doubling compared to the same period in 2024.

ASM operations accounted for more than 65% of Zimbabwe’s total gold output in 2024, underscoring their continued role as the backbone of the country’s gold sector.

However, experts caution that long-term sustainability will require improved investment in infrastructure, more reliable energy supply, and supportive policies to enhance production efficiency—especially in the struggling large-scale mining segment.