Karo Mining has pushed back its production timeline for its US$391 million platinum mine, now expecting first production in the second half of 2026. The project, located on the Great Dyke in Selous, initially began construction in December 2022 with commissioning slated for July 2024, later revised to June 2025. However, sluggish platinum prices have delayed progress further.
Karo stated that workstreams are being restructured to align with available funding, with smaller commitments being pursued while financing talks progress. Positive discussions with financiers are ongoing, and the group is assessing term sheets received from potential backers.
Once operational, the mine will produce up to 194,000 ounces of platinum group metals (PGMs) annually, positioning Karo as Zimbabwe’s third-largest platinum producer, behind Zimplats and Unki. However, the overall industry has been impacted by weak PGMs prices, with Zimplats and Mimosa scaling back or abandoning some expansion projects.
Zimplats CEO Alex Mhembere noted last year that platinum prices have likely bottomed out and are expected to stabilize, providing cautious optimism for the sector’s future.
