SMALL-SCALE producers delivered more than 70% of the gold delivered in the first half of the year, with a haul of 14,56 tonnes, latest data shows, attributed to better incentives for the yellow metal.
Small-scale gold miners were offered a 5% incentive for every 500 grammes of gold delivered to Fidelity Gold Refinery (FGR) as the government seeks to boost gold deliveries to reach a target of 40 tonnes this year.
Should the government meet the 40-tonne target and current prices hold till year-end, gold exports could total US$4,27 billion this year.
In an interview with NewsDay Business, Young Miners Foundation chief executive officer Payne Kupfuwa said small-scale miners had been encouraged to produce more gold due to what Fidelity was offering.
“The surge in the small-scale miners’ gold deliveries to the Fidelity Gold Refinery owes much to the good prices that we are getting from Fidelity Gold Refinery. The prices that gold is being bought for are so encouraging and it is catapulting production,” he said.
“We are investing so much in small-scale mining, which has contributed to the growth and development of the sector. So, we now have serious investment coming in small-scale mining.”
Small-scale miners have been getting support politically.
“Small-scale mining has been getting enough support; it has been getting attention,” Kupfuwa said.
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“There has even been good political will in terms of assisting small-scale miners through alternative financing models and training, which also enhances productivity and boosts efficiency in gold mining.”
During the half year, gold miners delivered a total of 20 103,5493 kilogrammes (kg) of gold, of which small-scale miners contributed 14 561,6754kg while bigger miners contributed 5 541,8739kg.
The contribution means small-scale miners accounted for 72,42% of all gold deliveries during the first half of the year, more than their typical 60% to 65% deliveries.
Zimbabwe Miners Federation (ZMF) chief executive officer Wellington Takavarasha noted that small-scale miners had been the top gold producers since 2017.
“Small-scale miners are more than bigger players because some big mining operators have been closed, and more indigenous people have joined the sector. Miners are also benefiting from the prices offered internationally.”
ZMF has lobbied for the establishment of a dedicated fund to support artisanal miners, such as the US$40 million gold development initiative fund administered by FGR.
ZMF is also lobbying for a US$10 million facility administered by the Zimbabwe Mining Development Corporation.
