Zimbabwe under the “use it or lose it” strategy has successfully recouped Eighty Mining Concessions

By Abdul Rahman Bangura–

Photo Credit: Mining Technology

NEW AFRICA BUSINESS NEWS (NABN) Freetown, Sierra Leone-  The Administration of Zimbabwe has successfully regained over eighty mining acquiescence under the “use-it or lose-it” policy and an established statement will be made in due course, Mines and Mining Development Minister – Winston Chitando, divulged.

In 2020, the administration confirmed that it was also looking forward to re-sizing some of the settlements with massive reserve footings and undue life spans and administer them to possible investors. With-it, it was reported that some forthcoming investors granted the Special Grants (SG) in different mining sub-sectors of the economy were holding onto the claims for unpredictable objectives. This was retrogressive as Zimbabwe was being constrained of its potential to capitalize on its massive mineral reserve basis.

Winston Chitando let out that, the Government will soon disseminate an accepted testimony heeding the regained idle investments.

“The ‘use-it or lose-it’ policy has been implemented. We will have formal announcements in due course. But we have repossessed over 80 assets and we will do a formal update on that, and we will continue to do that (repossessing),” he mumbled.

The repossessed assets were in sub-sectors that constitute gold, coal, and chrome, among others. It is understood that the repossessed mining concessions will be allocated to other companies willing to directly work on them.

“We have always warned that the time was up for all those mining title holders who were holding onto the concessions for speculative tendencies at the expense of the country.

“Under the Zimbabwe is open for business mantra, those repossessed assets will be reallocated to potential investors who really want them for productive purpose in line with the National Development Strategy 1 Agenda,” remarked Minister Chitando.

Through the Mines and Minerals Act, the Government is entrusted to retake unused mining concessions to stave off doubtful holding of precious investments. The law strives to improve investment, job creation and ensuring broader admission to mining assets by enabling those willing to mine to file claims and obtain concessions.

Under this exercise, lesser claims are strengthened to make achievable mining concessions that are then allotted to genuine investors receptive to turn on mining operations.

Zimbabwe has asserted, the opinion to resize some of the concessions brandished by investors who were already on the ground fulfills the culmination that some of the possible investors were failing to comprehend their full potential as well as benefit the mineral due to shortage of raw materials.

In 2019, President Mnangagwa inaugurated a mining industry strategic roadmap to construct a $12 billion sector by 2023. Under the road map, coal, chrome, diamond, iron and steel are envisaged to subscribed $1billion.

The projected growth exemplifies a 344% geyser from $2.7 billion attained in 2017. By 2030 the Zimbabwe administration predicts that, the Mining Industry independently would be laudable venture for Zimbabwe.

For New Africa Business News (NABN) Abdul Rahman Bangura Reports,  Africa Correspondent