Editorial comment: Developments in mining sector pleasing

The Chronicle

Zimbabwe on Tuesday registered yet another milestone when Government signed a joint venture with the world’s top diamond producer by volumes, Alrosa Overseas. SA. for the exploration, extraction and marketing of the country’s diamonds.  

The joint venture is expected to transform the country’s diamond sector. The Zimbabwe Consolidated Diamond Company (ZCDC) chairman Mr Kilian Ukama and Alrosa chief executive Mr Sergey Ivanov signed the agreement in Harare at a ceremony which was witnessed by President Mnangagwa. 

Russian Ambassador to Zimbabwe Mr Sergey Bakharev and several Cabinet Ministers also attended the event. ZCDC and Alrosa will jointly mine and undertake exploration on claims and special grants registered under the ZCDC and others which maybe be acquired by the joint venture company. 

Speaking after the signing ceremony, President Mnangagwa said the agreement between the two companies was yet another milestone in the “Zimbabwe is Open for Business” policy which is critical in the new dispensation’s drive towards the attainment of “Vision 2030” of an Upper Middle Income Economy. 

It is pleasing to note that the Government is continuing to record positives in its endeavour to develop the mining sector which has been identified as one of the key sectors that should contribute to the quick turnaround of the economy. A lot of ground has been covered towards the establishment of Karo Resources’ $4,2 billion platinum mine in Mhondoro-Ngezi.  

The process is in its first phase of exploration and the company has so far completed aeromagnetic survey, digital terrain mapping and the drilling to quantify the platinum resources. 

Government has also signed an investment deal worth more than $5 billion with a Chinese steel manufacturing giant, Tsingshan, for the setting up of a new steel plant in Mvuma. 

The deal is set to create 30 000 jobs while that of Karo Resources will create 25 000 jobs. The mining sector is definitely poised for tremendous growth and the challenge is for the Government to keep up the momentum by providing an enabling environment. 

President Mnangagwa has already said Zimbabwe is on an unstoppable economic and political trajectory that will thrust the country to prosperity and the signs are already showing.