Paladin shares sink as it cuts uranium output
The uranium miner revised down its production forecast for the Langer Heinrich mine in Namibia.
Zimbabwe said it won’t grant further tax relief to mining houses from next January in a bid to force them to complete plants to process raw materials.
The country’s platinum industry has already made progress in developing a base metal refinery plant, which is expected to come on line next year, the Ministry of Finance said Monday in a statement posted on X. Zimplats Holdings Ltd. has so far spent $29 million on the $190 million project.
“Government has already introduced 5% beneficiation tax on the export of un beneficiated platinum, with a view to compel mining houses to invest in the requisite plants,” the Treasury said. “In addition, government removed customs duty on the importation of the equipment required in the setting up of beneficiation plants.”
Zimbabwe President Emmerson Mnangagwa said last month the government would introduce incentives to encourage mining companies to process their output locally. The plan reflects a wider push across Africa to add value to natural resources before exporting them to reap greater economic rewards.
Zimbabwe has the world’s third-largest platinum reserves after Russia and South Africa. The southern African nation generates more than half of its revenues from exports of minerals including gold, chrome and diamonds.
Separately, Zimbabwe is negotiating with lithium miners to improve beneficiation.
(By Godfrey Marawanyika)
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