ZIMBABWE’S state-owned Kuvimba Mining House has announced a significant $310 million deal with an international consortium of British and Chinese investors to build a state-of-the-art ore processing plant. A Reuters report said this strategic partnership aims to establish a three million tonnes per year lithium concentrator at the Sandawana mine, a site historically known for emerald mining by Rio Tinto until 1993.
The investors involved are recognised leaders in the global lithium market, according to a statement from Kuvimba Mining House. This binding build, operate, and transfer (BOT) agreement will significantly bolster Zimbabwe’s position in the lithium industry.
Crucial lithium processing facility
The new lithium concentrator will play a vital role in the early stages of lithium processing, which includes the crushing and leaching of ore to produce concentrates. These concentrates are essential for refining into lithium carbonate or hydroxide, key ingredients in battery production. Currently, Zimbabwe exports unrefined lithium concentrates primarily to China for further processing. The establishment of this facility will enhance local processing capabilities and reduce dependency on external refining processes.
Operational timeline and production goals
The BOT agreement, set for a six-year term, outlines that the lithium processing plant is expected to become operational within 18 months. Once up and running, the facility will aim for an annual production target of 600,000 tonnes of lithium concentrate.
Strategic moves in the gold mining sector
In related developments, Reuters recently reported that Kuvimba is exploring the sale of up to a 40 percent stake in its Shamva Gold Mine in Zimbabwe. The company is actively seeking partners for its Freda Rebecca gold mine as well. Kuvimba’s managing director, Patrick Maseva-Shayawabaya, disclosed that the company aims to raise approximately $150 million to develop an open-cast mine at Shamva and construct a processing plant. Additionally, investments are being sought to extend the lifespan of the Freda Rebecca mine, which currently has a projected life of five years.
Kuvimba Mining House’s partnership with British and Chinese investors marks a significant step forward for Zimbabwe’s mining sector. The new lithium processing plant is expected to enhance local processing capabilities, support the country’s economic growth, and position Zimbabwe as a key player in the global lithium market. With strategic investments in both lithium and gold mining, Kuvimba continues to drive innovation and expansion in Zimbabwe’s mining industry.
