Meikles mining partner ready to inject $500m

ZIMBABWE Stock Exchange listed conglomerate Meikles Limited has said its new foreign-based mining partner, Centar Mining, is ready to invest up to $500 million as the group spreads its tentacles into mining.

Report by Victoria Mtomba

Addressing shareholders at the company’s 76th annual general meeting, one of the company’s directors, Mark Wood, said Meikles will have 51% shareholding in the new company while Centar mining will hold 49%.

Shareholders approved the joint venture and establishment of Meikles Centar Mining Limited.

“Before the elections they (Centar) sent us a partner with $500 million capital.

“The partner came, but we didn’t finalise anything as all things went into elections mode.

“Now, we want to see who will be the next (mines) minister who we will have to talk to,” Wood said.

The partnership, according to Meikles, has already been approved by the Indigenisation ministry and the investment authority while it was yet to be approved by the Competition and Tariff Commission.

“We took our potential investors to the Indigenisation ministry and they were happy with what we are trying to do,” he said.

The deal would see the company mining close to seven minerals in the country, including gold, tantalite and iron ore.

Wood said the country has a lot of distressed gold mines, some of them under care and maintenance.

According to the Chamber of Mines of Zimbabwe, the country’s mining sector, now the mainstay of the economy, needs $5 billion to recapitalise.

“We are looking at three or four gold mining companies with a view of getting into partnership with or taking over their assets,” Wood said.

He added that the company wanted to venture into diamond mining through the acquisition of Rio Tinto (UK)’s 78% stake in Murowa Diamonds, but that has been reversed after Rio Tinto (UK) decided to stop the deal.

He said the company was advised by the Indigenisation ministry to venture into mining and they sourced a technical partner, Centar.

Centar is a mining company founded by Ian Hannam and Jan Kulczyk and supported by a number of prominent and highly experienced investors from Thailand, Indonesia, Poland, Kazakhstan and others.

Meanwhile, Meikles’ chairman John Moxon said the central bank was not broke and will be paying the company the $26 million that they are owed soon.

“The RBZ will write a cheque in a day or so. The RBZ is not broke. That, in fact, is untrue.

“Their results are audited by KPMG and BDO and the financials are signed on a going concern basis. They are not broke.

“The ministry of Finance is standing behind the RBZ,” Moxon said.

22 Comments

  1. Moxon achieved his objective of making sure zanu pf retains power so that his mining deals will go through.allegations are he bought those gleaming cars for zanu pf. i would urge Zimbabweans to boycot anything to do with meikles where possible. Rather go into an Ok store than TM.

    1. MDCT got some funding from the West and USA so that the homosexuals would be allowed to drill human beings from the rear by the puppet government. I would urge Zimbabweans to do business with TM and all right thinking companies like Meikles.

      1. Reason. Wabaya mwana wamai. Ndizvo chaizvo. These guys, Magame and company, are fighting an imaginary and futile war. They will never win. America, Britain and company will lose a lot of business by their silly actions. I know that very soon when the dust has settled, they will come to President Mugabe, begging for concessions. Foolish thugs. Havana nyadzi.

    2. What if OK, SPAR and Food World also supported Team ZANU-PF. You would boycott them too? Zimbabwe needs you mate, economic revival begins with you, begins with with me and begins with all of us. Time to move on.

  2. http://www.theindependent.co.zw/2013/02/08/meikles-mogul-donates-cars-to-zanu-pf/
    Thats why Moxon was donating cars to ZANU PF. He wanted an easy way into mining.

    1. Moxon ndiye munhu anonzi ane foresight. He will be smiling all the way to the bank while some fools will continue to mourn about the elections that they lost fairly and squarely. Heh boycott TM heh chii chii. The country is moving on muchida musingadi and VaMugabe will be installed tomorrow at the National Sports Stadium muchida musingadi. Mati madii. Munofanira kuchinja mafungiro nemaitiro enyu.

      1. ndokunonzi kugona management.akambenge airasa muchinda iyeyu akapoter kuzhe kwenyika…you manage the political enviroment kuti business rifambe.however, it might be against the will of the people but remember, whatever happpens, there’s God’s good reason for His children, even if it appears bad to them at that time.

  3. Great news, highlights into the future.

  4. @magame you are mad, what is wrong with moxon sponsoring zanu pf? What is wrong with Strive Masiyiwa, Roy Bennet sponsoring MDC? Plz also bear in mind that MDC is dead & buried and safe in the grave. We buy from any Zimbabwean store full stop.

  5. Next mines and minerals minister is none other than cde i chombo, there u are moxon.

  6. who cares if he donated to Zanu PF, they are going to create jobs for loads of people out there.

    1. This guy is Racist, he is closing the Dept Stores and rendering black workers destitute by giving them paltry retrencment packages of one month salary for every year worked, just before coming with that offer he had paid his white kith heavy packages. in the process the black workers go empty handed despite that almost two years ago he told all that those same workers going empty handed were now share holders of the company thru indegenisation, does Mudhara Bob know about this Racist guy’s shenanigans. He says he no longer has money for department stores and renders workers destitute by not paying them while he is talking of close to a billion investiment in mining. He is disempowering the workers and empowering himself. Btai munhu uyu. What colour is he??

      1. That’s business my friend, would you put money into an operation that isn’t making you money and divert it from an operation that will make you money? Let’s not oppose for oppositions sake. This is a positive development, and as Meikles is a registered entity and these revenues will be taxed which contributes to the fiscus. Jobs are going to be created and salaries taxed which further contributes to the fiscus. What are you complaining about?

        1. @ Tawanda i’m not saying he should divert money from an operation thats making money into one that’s not. I am talking about destituting workers from where all the money you are using to diversify came from. Close that which is no more making money, open new cash cows but pay those from where you are closing, after all thats were he grew a deep pocket from. Does that make any sense to you.

        2. There probably more jobs that are going to be created in the mining sector than what the department stores were employing. There is probably more tax going to the fiscus that what the stores were providing. It’s just a matter of replacement I think. The company is going to hire from the same job market.

  7. 500mil z far much mo thn TsvanCry’s keys unlockd in 5yrs

  8. ERATHQUAKE31JULY

    500m that’s 2 months salary for civil servants it’s a shame tongai tiwone kuti munisvika papi imbwa dze zanu

  9. Very silly argument indeed. Lets stop $500 million capital investment so we can pay 2 months salaries for civil servants?? Unorwara here?

  10. So how much am i going to get as the in coming mining minister?

  11. Why does investment have to depend upon anyone who is goin to be appointed as minister? Why do they need to “talk to” just one “special” person? Nyika yose yomira nekuti politicians are busy doin somethin else – celebratin a flawed election? Hakuna Permanent Secretary here? Somethin wrong wit the system right there. Hahaha zimbabwe is a joke. No wonder why we at the bottom of Ease of Doing Business world rankings. Kana wakaenda kuchikoro u’l see that! Stop following Zpf blindly. Fools!

  12. @EARTHQUAKE , u have shocked me, infact provoked me to start comenting on this platform. iwe iwe zanu pf yaunotuka tisumaTeacher mu Harare takavhotera zanu pf knowing very well kuti the party will deliver. wavakurwadziwa nePotential yebato revanhu. kushokeka chete here mati madini, By the tym we reach 2018 munenge mavapamberi kusapota zanu pf. mirauwone.

  13. people have noticed one common thing among mdc suppoters. foul language they cant convince people with facts even on level platforms such as this one, chavanogona kutuka chete nothing else. ndosaka takakutizai uye makakundwa.

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