Mutapa seeks $950 million
STAFF WRITER
The Mutapa Investment Fund (MIF) has announced that its mining flagship, Kuvimba Mining House, requires US$950 million to expand operations across its gold, lithium, platinum, and chrome assets.
The capital injection is intended to increase operational efficiency, expand the resource base, and support disciplined growth across its mining clusters.
In its first annual report and audited financial statements released last week, the sovereign wealth fund stated that KMH will intensify exploration campaigns with a dual focus on identifying new deposits and extending the life of existing mines, with several capital projects already in development. The company is also evaluating alternative energy solutions, including solar power, to enhance energy security and operational resilience.
MIF reported that its mineral resources cluster—comprising Kuvimba Mining House, Defold Mine, Hwange Colliery Company Limited, and Tuli Coal—navigated a complex but opportunity-rich global environment in the past year. Gold’s strong performance provided stability across the portfolio, with KMH increasing gold production to 3.61 tonnes for the year ending March 31, 2025, an 11 percent year-on-year rise. This contributed to Zimbabwe’s record national gold output of 36.48 tonnes in 2024.
Beyond gold, the broader cluster showed notable progress.
The Zimbabwe Consolidated Diamond Company, operating under Defold Mine’s holdings, reported a 12.5 percent increase in diamond output and a 32.8 percent rise in sales. Kamativi Mining Company successfully commissioned the first two phases of its lithium processing plant, marking a strategic entry into the battery minerals sector. Hwange Colliery, though remaining under judicial management, demonstrated early signs of recovery amid rising domestic and regional demand for coal.
The fund also acknowledged sector-wide challenges, including depressed lithium and nickel prices, increased global shipping rates affecting bulk commodities, and recurring power outages that constrained production at Zimbabwe Alloys. The Darwendale platinum project remained under care and maintenance as KMH continues to engage potential investors for its revival.
Strategically, MIF will prioritize operational excellence, cost discipline, and portfolio optimization. Key focuses include advancing exploration, modernizing processing infrastructure, and scaling viable assets while deepening Environmental, Social, and Governance integration across its operations.
The report highlighted that the operationalization of the African Continental Free Trade Area is expected to broaden regional markets for battery minerals and steel inputs, offering new avenues for export growth.
