CONSTRUCTION at the US$4,2 billion Karo Resources consolidated platinum project in Mhondoro-Mubaira is at an advanced stage, with full production expected in the first half of 2027, NewsDay has established.
The progress was highlighted during a tour of the site last Thursday by Mines and Mining Development minister Polite Kambamura, accompanied by his deputies Fred Moyo and Caleb Makwiranzou, ministry secretary Pfungwa Kunaka and other senior government officials.
The project follows the signing of an investment agreement between Karo Resources and the government in March 2018 and was officially commissioned by President Emmerson Mnangagwa later that year.
Key infrastructure taking shape includes the core shed, pilot pit, pilot plant, mill section and Chirundadzi Dam, which will supply water to the mine and the processing plant.
Speaking to journalists after the tour, Karo Resources head of processing Qubhekani Moyo said the Karo platinum concentrator under construction
would process 220 000 tonnes of ore per month.
“We will be receiving our ore at a grade of 3,3 grammes per tonne, between 2,8 grammes per tonne and 3,3 grammes per tonne from the mine and then we treat the ore and mill it in the two-stage milling that we have,” he said.
Karo Resources is constructing two mills — a 7,25 megawatt mill and a 4,4 megawatt mill and is targeting to recover 83% of platinum group metals.
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“From the 220 000 tonnes of ore that we treat in a month, we aim to produce 5 000 tonnes of concentrate, which we are going to be selling to the market,” he said.
Karo is also setting up a 132 kV line from Selous substation, which will feed into a substation where it will step down the voltage to 11kV and, subsequently, to 525 and 240 volts for the plant.
Karo Resources country director Joe Zimba said the Victoria Falls Stock Exchange (VFEX)-listed company had sunk at least US$90 million into the project.
He said the VFEX listing helped the company to raise about US$36,7 million for the project, allowing local financial institutions and pension funds to participate.
“And really, it is a unique way to fund a project, a local project, using some of the local in-country resources. And to do something here that really is there for the long haul,” he said.
“So it really was a nice listing. And also, it allowed some of the local financial institutions to participate and get very good returns for their participation in the funding for this project.”
Zimba said the project represented the next generation of platinum production in this country.
“And it is a fantastic opportunity to see something like that growing and obviously take over as some of the older mines retire. It is a key pipeline for the supply of platinum to the world,” he said.
Kambamura said Karo’s extensive exploration programme, which involved drilling about 90 000 metres, produced encouraging results.
“The civil works are 100%. The works were done, designs and engineering were done in South Africa, they are 100% again. One thing to highlight is that all the civil works here were done by Zimbabweans,” he said.
“So we are even excited about the level of expertise, the talent, the intellect in the country. So Karo is one of those projects that the ministry is excited about.
“They are going to be employing about 1 000 people and currently they are employing about 8 400 people indirectly. So, forward ongoing, I think they are starting production in the first half of 2027, but they are not stopping between now and 2027.”
Kambamura said the project would be implemented in parallel phases for construction and mining, including waste stripping to expose the reefs.
“So first half of 2027, it is production full throttle. The life of the mine for Karo is above 50 years. So, we will still be there after 50 years to see the successes of Karo Resources, what they will be doing for the coming generations,” he said.
Kambamura said Karo Resources would begin with open-pit mining and transition to underground operations after 10 years.
“But as they will be doing open pit, they will be developing underground again on the other section. So everything is above board. We are excited,” he said.
“We would like to recommend to other players who want to come to Zimbabwe and invest. This is the signature project. The government has been in full support. They have received fiscal incentives throughout the project.”
