Implats threatens to close Mimosa mine

Implats threatens to close Mimosa mine
Published: 15 September 2017 (1108 Views)
IT'S "crunch time" for Impala Platinum's (Implats')  Mimosa mine which is under threat of closure as it cannot not comply with Zimbabwe's beneficiation laws and remain profitable.

The Harare government has passed legislation that obliges platinum miners operating within its borders to build a local refinery or pay a 15% levy on concentrate exports.

"It is crunch time as we would rather park the resource than post losses," said Gerhard Potgeiter, group executive for growth projects at Implats.

"This is a clear stance between ourselves and Sibanye-Stillwater," he said.

The two companies have a 50% share each of Mimosa which profitably produced a record 121 600 ounces of platinum concentrate in Implats' 2017 financial year.

Potgeiter said the company had recently completed a feasibility study on the smelter and found it unaffordable.

Nico Muller, CEO of Implats, added that there was no intention to "make war on government" and that the company would give the Robert Mugabe administration time to make a decision.

"There are certain realities that we need to face as businessmen. We either make money or not. If we are only making money to pay taxes, then that is not going to work.

"But we want to give them time to change decision on export levy."

The 15% levy comes into effect in 2018.

Meanwhile, a proposal accepted verbally by the  government to role out new technology that heavily cut the cost of building a smelter and refinery was unlikely to be a short-term solution.

"I'm not saying it won't be possible one day," said Muller. "We are supportive of Zimbabwe's beneficiation drive," he added.

Alex Mhembere, CEO of Zimplats in which Implats has an 87% stake, said the technology was applicable to smaller operations.

"It is probably years out and would most likely only apply to smaller operations such as Mimosa and Unki [the Anglo American Platinum, Amplats] mine," he said.

- miningmx

 0

You May Like These Videos

Comments

There are no comments.

Latest stories

Tesla pfee in Zimbabwe

by Staff reporter | 20 October 2018 | 135 Views

Zimbabwean student use the old trick to get asylum in Ireland

by Staff reporter | 20 October 2018 | 153 Views

Joram Gumbo must leave office and face justice

by MDC Communications | 20 October 2018 | 132 Views

Zimbabwe teachers demand salaries in US$

by newzimbabwe | 20 October 2018 | 204 Views

'Chamisa's Alliance plotted a coup against Mnangagwa'

by Staff reporter | 20 October 2018 | 249 Views

Demand for Indian sex sweets rises

by Staff reporter | 20 October 2018 | 236 Views

'Chamisa won't be contested at congress' - no vacancy in MDC presidium

by Staff reporter | 20 October 2018 | 189 Views

Mthuli Ncube calls for political reforms

by Staff reporter | 20 October 2018 | 198 Views

Mnangagwa's minister exposed charging in USD refuses Bond notes

by Staff reporter | 20 October 2018 | 163 Views

Zimsec engages Deloitte And Touch over exam leaks

by Staff reporter | 20 October 2018 | 136 Views

The White Man who sent fear down Mugabe's spine

by Globe and Mail | 20 October 2018 | 127 Views

Human rights violations down in Zimbabwe

by Stephen Jakes | 20 October 2018 | 105 Views

Mliswa pleads with Finance minister to see importance of MPs vehicles

by Stephen Jakes | 20 October 2018 | 108 Views

Zimbabwe business are mercenaries out to loot the poor: MDC legislator

by Stephen Jakes | 20 October 2018 | 119 Views

Electric Tesla car causes stir on Zimbabwe social media

by Staff Reporter | 20 October 2018 | 121 Views

Zimbabwe army officers warned

by Staff reporter | 20 October 2018 | 144 Views

Biti savages Mthuli Ncube

by Staff reporter | 20 October 2018 | 113 Views

Zanu-PF backers justify army use of deadly force

by Staff reporter | 20 October 2018 | 120 Views

Zimbabwe tax system hit by low compliance levels

by Staff reporter | 20 October 2018 | 74 Views

Price controls, tinkering with the deck while the titanic is sinking

by Jacob Mafume, MDC National Spokesperson | 19 October 2018 | 233 Views

Man nearly killed over cooking oil

by Simbarashe Sithole | 19 October 2018 | 211 Views

Mnangagwa closing in on unscrupulous businesspeople

by Staff reporter | 19 October 2018 | 228 Views

Prophet sells congregant's vehicle

by Staff reporter | 19 October 2018 | 195 Views

Zanu-PF's Dexter Nduna confirmed Chegutu West MP

by Staff reporter | 19 October 2018 | 140 Views

Mnangagwa caps 1719 graduands

by Staff reporter | 19 October 2018 | 118 Views

ZCTU calls for resignation of Minister Gumbo

by Stephen Jakes | 19 October 2018 | 282 Views

Mnangagwa has to deliver and, urgently too

by Staff reporter | 19 October 2018 | 314 Views

Zanu-PF dictatorship, ideological dominance

by Vivid Gwede | 19 October 2018 | 236 Views

ZCTU, why spare Bulawayo council over rates hike

by Conway Tutani | 19 October 2018 | 217 Views

Motlanthe Commission risks playing into Zanu-PF agenda

by Staff reporter | 19 October 2018 | 229 Views

Councils challenged to generate own income

by Staff reporter | 19 October 2018 | 159 Views

Zimbabwe gender parity misses 50% mark, says Mohadi

by Staff reporter | 19 October 2018 | 119 Views

Zanu-PF official, sangoma jailed over pangolin scales

by Staff reporter | 19 October 2018 | 185 Views

Mliswa mocks Gender Commission

by Staff reporter | 19 October 2018 | 170 Views

Police harass senior Masvingo journalist

by Stephen Jakes | 19 October 2018 | 153 Views

Zimbabwe gold exports decline by 21%

by Staff reporter | 19 October 2018 | 176 Views