Metallon sinks $2,5m into exploration
Oliver Kazunga, Senior Business Reporter
ZIMBABWE’s largest gold producer, Metallon Gold, has invested an estimated $2.5 million in ongoing exploration activities at its mining operations in the country.
The mining group owns operations that include How Mine, Gold Fields of Mazowe, Shamva Mine and King’s Daughter Mining Company.
“Exploration activities at our mining assets are focused on extending existing ore bodies and identifying new ore bodies both at existing and undeveloped sites. Metallon’s prospecting interests cover a total area of 101 803 hectares in Zimbabwe,” said the mining group in an update on its website. “In addition to ongoing mine site exploration, Metallon has a programme of investment in regional exploration. In 2017, the budget for exploration in Zimbabwe was $2.5 million.”
The mining concern said it believes that there were still many exciting prospects in Zimbabwe with the greenstone belt well mapped but still under explored.
Metallon’s exploration portfolio and growth profile includes mine site ore body extensions (all the company’s mines are open along strike and at depth), brownfield exploration targets in the vicinity of existing mining operations for example, at Shamva, Redwing and Mazowe Mines.
“Geophysical data of surveys conducted around the mines is under review and may generate additional exploration targets,” said the gold miner.
Meanwhile, Metallon is set to invest $12 million at Mazowe Mine to boost monthly production figures. The gold miner recently completed construction of an $18 million processing plant, which was commissioned last year at Mazowe Mine.
Investment in mining is critical to Zimbabwe with the Government pinning hopes on the gold sector. The country’s mineral revenue is projected to reach $2.5 billion this year up from $2.3 billion last year. Gold output is expected to reach a new record of 30 tonnes up from 24.88 tonnes in 2017 while platinum production is expected to increase to 15.5 tonnes compared to last year’s 14.2 tonnes.
At present, gold price on the international market is averaging $1.325 per ounce with the figure expected to improve in the second half to $1.500 per ounce.