Zimbabwe’s gold deliveries to the Fidelity Gold Refinery, the exclusive gold buyer in the country, have totaled 26.2 tonnes from January to October this year, according to Mines and Mining Development Ministry.
Contrary to the targeted 40 tonnes for the entire year, the minister Zhemu Soda on Monday noted a decline in deliveries by small-scale gold miners, dropping to 16.5 tonnes compared to 20.1 tonnes recorded during the same period in the previous year.
Minister Soda attributed the reduced gold production from small-scale miners, who significantly contribute to the gold supply to Fidelity Gold Refinery, to inadequate mechanization in the artisanal sector.
Additionally, the lack of geological reports to evaluate mining sites’ resources has impeded production. He highlighted the scarcity of capital as a primary hurdle for most small-scale miners, citing their limited assets available for collateral.
Gold stands as a critical foreign currency earner for Zimbabwe, alongside tobacco leaf and platinum. Last year, the nation achieved a record gold output of 35.38 tonnes, underscoring its pivotal role in the country’s economic landscape.
