[miningmx.com] – SOUTH African platinum miners with operations in Zimbabwe have until the end of this year to set-up a refinery in the country – a directive given purpose by a planned meeting for January 9 in which the government will call for “expressions of interest” from the sector.
Already, the Zimbabwean government has increased pressure on platinum miners which have this year started paying a 15% levy on raw platinum exports. The levy was created to motivate mining groups into building beneficiation facilities in the country, even though miners are sceptical of its economic viability at present output levels.
Zimbabwe already has a high mining taxation regime and the 15% levy on raw metal shipments for processing outside the country will further burden the miners’ already stretched bottom line, said industry sources.
Walter Nemasasi, the general manager of Unki miner, which is run by world number one platinum producer, Anglo American Platinum, told Miningmx yesterday evening that the platinum miners had no option but to pay the 15% levy on raw platinum exports.
The government has given the platinum producers – which include Impala Platinum’s (Implats’) unit, Zimplats and Mimosa mine, which is jointly owned by Implats and Aquarius Platinum – until the end of this year to set-up a refinery.
Failure to set-up the refinery will result in the government banning raw platinum shipments at the beginning of next year.
“There is nothing we can do. This is a law which has been made and we just have to comply with a law which has been made,’ Nemasasi said.
The Platinum Producers Association in Zimbabwe would not comment on the latest development.
The platinum producing companies in Zimbabwe all have plans to expand their operations. Zimplats CEO, Alex Mhembere has said his company is now at an advanced stage with its expansion project.
However, reports said yesterday that Unki had shelved plans to set-up a second mine in the country owing to depressed world commodity prices and other concerns.
“At the moment we are in the process of our long term plan. That does not mean it’s a cancellation of the expansion,’ Nemasasi said.
The government has invited mining companies in Zimbabwe to a meeting on Thursday, where they have been asked to “put forward an expression of interest to establish the refinery on your own or as lead company in concert with other companies’.
“Once the refinery plant is established all the producers in the country will be compelled to send the PGMs concentrate to this facility for toll refinery in support of such investment,’ wrote Ministry of Mines and Mining Development Permanent Secretary, Francis Gudyanga, in his letter to the mining companies.
