MEIKLES Limited’s mining division, Meikles Centar Mining (MCM) says it has received regulatory approvals for a $3 million transaction to acquire 51% equity from Matabeleland mining firm DGL Investments (Imviga).
The group recently announced intentions to venture into gold mining in Matabeleland through MCM after it signed a partnership agreement with local firm Imviga to buy 51% equity in the company.
DGL Investments is a subsidiary of emerging gold producer, Duration Gold Limited in Matabeleland, and is majority owned by the United Kingdom-based Clarity Capital.
Meikles group executive chairman John Moxon said approval for a $3 million transaction had now been sanctioned by the Reserve Bank of Zimbabwe and the Youth, Indigenisation and Economic Empowerment ministry for the participation of their foreign partners in gold mining in the Matabeleland area.
“It is expected that agreements will be finalised in the foreseeable future with our partners, so that this division will progress as outlined to shareholders in previous releases and reports. Shareholders will be advised of developments as they progress,” Moxon said.
The group is also set to spend more than $100 million in a chrome mining project along the Great Dyke following approval of the proposal by the government.
The mining division purchased 75% equity in a company that owns chrome claims along the Great Dyke and has already submitted proposals to the Mines and Mining Development ministry relating to a significant chrome project, which include the construction of a smelter to beneficiate both lumpy and alluvial ore.
The operating businesses of Meikles Limited forms one of the leading retail and hotel groups in Zimbabwe comprising TM supermarkets, which is the country’s largest supermarket chain; Meikles Hotels, Zimbabwe’s premier corporate five-star hotel group; Tanganda Tea Company, the largest grower, packer and distributor of tea products in Zimbabwe and Thomas Meikle Stores, trading under the names of Meikles, Barbours and Greatermans.