Zimbabwe’s mineral earnings are projected to reach US$12 billion by 2024 with platinum contributing a quarter of the receipts on the back of massive investments on refinery projects, Mines and Mining Development Minister Cde Winston Chitando has said.
Resource extraction while coming at a cost has a potential of increasing returns, creating employment, generating revenues to the fiscus among other key multiplier effects.
With official data released on Wednesday indicating Zimbabwe earned US$2.4 billion from mineral export receipts in 2017 as well as US$3.2 billion last year, the expected revenue targets will be achieved, according to Cde Chitando.
Platinum mining which has so far attracted fresh investments from Karo Resources Limited and the Great Dyke projects by Russians which is expected to start in July, have seen the government also extending a deadline of the platinum refinery plants to 2024.
“The US$12 billion target is just really attainable and we area just hopeful that once all is done and finalised we can also be in a position to even increase our revenue markings for the entire sector in the future,” said Cde Chitando.
With anticipated rebound in global mineral prices, the government is also working on a strategy to ensure that beneficiation of the minerals will enable more revenues to be attained considering the vast unexplored platinum reserves within the country.
“The revenue generation aspect is key to the success of the sector and we are therefore anticipating increased revenues from the industry and unlock more value or earnings for the state and other key sectors,” Minister Chitando added.
The government through treasury has also suspended a 15 percent tax on unrefined platinum exports to end of 2022 to give the mining firms enough time to build smelters and refineries as Zimbabwe seeks to earn more money not only from the commodity, but also gold, diamonds, nickel, chrome among other resource-based commodities.