DURATION Gold Limited targets to produce 580 kilogrammes of gold in 2018, up 29% compared to the figures achieved last year, an official said.
Duration Gold country co-ordinating project manager, Ollie Iversen, told NewsDay in emailed responses, that the company last year managed to produce 449,25kg of gold.
BY MTHANDAZO NYONI
“Major challenges were the Zimbabwe Electricity Supply Authority Holdings, downtime and limitations on getting money allocations for foreign purchases of equipment and consumables. (Our) gold production target for 2018 is 580kg,” Iversen said.
“We are cautiously optimistic about the necessary changes to create an environment for further investment in the mining industry being made timeously,” he said.
Duration Gold, established in 2006 and based in Bulawayo, offers gold exploration and production services.
It owns five core assets with historic production of 4,6 million ounces. It also sells gold at international spot prices.
It operates as a subsidiary of Clarity Enterprises Limited.
One of its flagship gold mines is Vumbachikwe, which is one of Zimbabwe’s oldest gold mines.
The gold mining sector last year delivered 24,8 tonnes of gold to Fidelity Printers and Refiners (FPR), up from 21,4 tonnes in the year earlier.
In the period under review, small-scale miners outshone large-scale producers after contributing 53% of the total deliveries.
The Chamber of Mines of Zimbabwe (COMZ) recently revealed that the country’s mining sector is expected to register a marginal increase in revenue earnings this year to $2,5 billion from $2, 38 billion in 2017.
The body said the increase in revenue is anticipated on the back of a marginal rise in production of all the major minerals.
COMZ, however, noted that the sector remained fragile, as it continued to operate below capacity due to a host of challenges, chief among them shortages of foreign currency which was resulting in delays in foreign payments.
Other challenges besetting the industry included inadequate capital, high cost structure (high electricity tariff, suboptimal fiscal charges), power disruptions, low exploration activities and depressed metal prices mainly for platinum and nickel.