Mimosa accelerates strategic investments

CLOUDINE MATOLA IN ZVISHAVANE

Platinum producer, Mimosa Mining Company, is pursuing plans that could extend its operational life by at least 15 years, offering fresh momentum for one of the country’s most important mineral assets as existing reserves near depletion, Business Times can report.

The move comes as the platinum miner enters the latter stages of extracting ore from its flagship South Hill deposit, which currently has an estimated eight years life of mining.

Speaking during an editors’ media tour of the mine’s operations in Zvishavane, Mimosa general manager Stephen Ndiyamba, said future growth hinges on developing the North Hill ore body, a project that could secure Mimosa’s long-term future and preserve thousands of jobs.

“We have an eight-year life of mine remaining under the current operation, but there is potential for us to extend that by another 15 years or so through investment in North Hill,” Ndiyamba said.

“Those developments are at various stages of determining whether they can be mined economically, but the opportunity is there.”

Mimosa, jointly owned by South Africa’s Implats and Sibanye Stillwater through Mauritius-based Mimosa Investments Limited, owns three ore bodies namely South Hill, North Hill and Far South.

South Hill is the backbone of current production, although the mine is increasingly extracting ore from the margins of the deposit.

According to Ndiyamba, this has introduced greater technical complexity, including lower grades and more challenging ground conditions.

“Currently, in terms of the South Hill operations, we are now mining on the fringes of the ore body and that brings challenges in terms of grade control and ground conditions, but we have a competent workforce and are still able to meet our production plans,” he said.

The potential expansion is significant for the local economy.

Mimosa employs about 1,200 permanent workers and a further 2,300 contractors, directly supporting an estimated 3,500 families.

The mine has also embarked on major capital projects aimed at ensuring operations remain viable as ore grades decline.

Over recent years, Mimosa invested US$38m in a plant optimisation programme designed to improve processing efficiencies and modernise technology.

“The purpose of the project was to ensure we can continue processing material efficiently as the ore body matures and grades decline. The project exceeded our initial expectations,” Ndiyamba said.

The company has also committed US$75m on tailings storage facility (TSF), which comes with a 1.1m cubic metre return-water dam sitting on 165 hectares.

The facility enables the recycling of water used in mining operations, reducing dependence on external supplies while ensuring waste generated by the operation can be managed over the long term.

“These projects are aligned with our life-of-mine plans and position the business for the next 20 years,” Ndiyamba said.

Beyond mining, the company says it is investing in projects intended to outlive the ore body itself.

“Our community foot print and wellness programmes are part of ensuring that when mining eventually comes to an end, there is still a sustainable legacy for surrounding communities,” he said.

Mimosa is also currently undertaking the construction and equipping of various healthcare facilities in Mberengwa.

Mimosa has also moved to support Zimbabwe’s beneficiation agenda by processing part of its platinum concentrate locally.

The company signed an agreement with Zimplats under which half of its concentrate is now treated domestically, while the remaining portion continues to be shipped to South Africa until additional local smelting capacity becomes available.

“Previously all our material went to Rustenburg in South Africa for further processing,” Ndiyamba said.

“In line with government’s beneficiation policy, we entered into an agreement with Zimplats. At present they have capacity to process 50% of our concentrate, while the balance will continue going to South Africa up to 2028.”

As the company celebrates 100 years since the first platinum extraction at Mimosa, management says safety remains one of its strongest achievements.

The mine has recorded more than 8.5m fatality-free shifts, a figure Ndiyamba described as world class in an industry where one million fatality-free shifts is considered a major milestone.

“We are extremely proud of our safety performance. We have achieved zero harm and are among the safest mining operations not only in Zimbabwe but by international standards,” he said.

The proposed extension of Mimosa’s mine life comes at a critical time for Zimbabwe’s platinum sector, which is under pressure to deepen value addition, preserve employment and sustain foreign currency earnings from one of the country’s largest export industries.