Cyprus based mining firm, Tharisa plc has acquired a 90 percent shareholding in a Zimbabwean based chrome mining firm in a show of confidence to government’s stance on opening investment to global investors.
The transaction which involves an undisclosed amount of money was concluded this week, barely two months after the company’s owners signed a $4.2 billion deal with the government to develop a platinum mine and refinery in the country.
A statement released by the mining giant to the ZBC News on Friday (today) indicate the acquisition of the 90 percent shareholding from Salene Chrome Zimbabwe Limited is expected to result in the full scale exploration of chrome mining along the Great Dyke.
The chrome mining development which will be undertaken on the eastern part of the Great Dyke is also expected to increase chrome throughput at a time when regulatory authorities are focusing on beneficiation of the mineral commodity.
Following the conclusion of the transaction, a budget of at least $3.2 million has also been set aside for further geological test works.
The foreign resource firm which is also listed on the London Stock Exchange said it is projecting a rebound in Zimbabwe’s mineral sector following amendments to the indigenisation regulations that have also seen renewed interests on resources by global investors.
The government has relaxed the 51/49 percent indigenisation thresholds for the resources industry with the rule now only being reserved to the diamonds and platinum sectors of the economy.