Kuvimba commits own funds to resume GDI project

KUVIMBA Mining House (Kuvimba) says it is mobilising internal resources to raise around US$500 million to kick-start operations at its Darwendale platinum asset, Great Dyke Investments (GDI).
This comes as Kuvimba is of the persuasion that enlisting another foreign investor would further delay the resumption of the keenly anticipated project.
“This project is now valued at US$2,5 billion and with a lifespan of over 50 years and when we look at it, the approach now is to say, let’s find our own resources to develop this project because it doesn’t make sense to bring in Chinese, Americans or whoever has got money to come and get into a project of this magnitude.
“When investors come in, they bring their own conditions, which might also affect the strategy of having a refinery because once an investor comes in, one will say look I have my own arrangement of a smelter in Asia…so that’s the thinking.
“At the moment, we are not looking for foreign investors. We want to organically develop the project,” Kuvimba group technical director, Munashe Shava told journalists touring GDI platinum project last week.
Kuvimba, which is a state-owned company in Zimbabwe, took full control of the mine after the Russia-based Afromet pulled out from the platinum project last year, when the Russo-Ukraine war broke out.
After the Russians exit, Shava said Kuvimba has committed its own resources to tie up mining designs, as well as other requisite preparatory steps to commence mining operations.
“To recommence the project, we need at least half a billion US dollars. This covers bulky infrastructure, and power to get the mine going among other things. GDI Darwendale project is one of the best projects in the country … The exploration was fully done. We are actually being accused of over-exploring it.
“The project has got about 44 million ounces of PGMs (Platinum Group Metals), so it’s by no means a small project, it’s quite a big project so the exploration is complete, the feasibility studies were completed, the execution was done, which is the development of the primary mine access, including the box and declines,” he said.
Kuvimba group holds 100 percent equity and is a major shareholder in entities such as the Victoria Falls Stock Exchange-listed Bindura Nickel Corporation, Globe and Phoenix, Freda Rebecca, Shamva, Jena, Sandawana, Tiger and Club, Elvington Mines, and Zimbabwe Alloys (Zim Alloys).
Speaking to journalists during the same tour, GDI chief geologist Hilman Nyamagodo said the project has 44 million ounces of platinum group metals.
“Exploration and feasibility studies are complete and production is due to start soon with the mine expected to yield 1,36 million kg of the metal over 60 years.
“We have two portals that we have developed. Portal One is fully developed to start producing ore. Accommodation for workers to be on-site has been developed and we also have a guest lodge on site,” he said.
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