Lithium firm value increases to US$3bn

MOREBLESSING MARANGE

Lithium mining firm Sandawana Mines in Mberengwa, Midlands province has raised its value to over US$3bn from US$5m despite facing operations challenges that led to its shutdown in 2010.

This follows the coming in of Kuvimba Mining House that has invested over US$56m into the company in a development that has seen the reawakening of the company and the community that was facing severe challenges due to unemployment and other challenges.

Following latest developments, there has been activity on the ground that also includes the rehabilitation of roads, employment creation and more business in the community.

Sandawana Mines general manager Godwin Gambiza said the coming in of new investment has breathed fresh life into the once quiet district and exploration was going on.

“The valuation was at US$5m but the investment that Kuvimba Mining House has done  in terms of the exploration work and this has increased rapidly the value of Sandawana in terms of valuation between US$2.5bn and US$3bn,” Gambiza said.

Officials said the lithium ore being mined at the company was of good quality and competitive on the international market.

Gambiza said the company is working together with other partners that have also shown interest to set up a beneficiation and value addition plant at the mine in a few years.

Under projects to benefit the community the company is working on, 150 kilometres of roads will be constructed at a cost of US$110m with the work having already commenced.