ZimAlloys yet to cede excess chrome claims

GOVERNMENT says it has not yet reached an agreement with chrome smelter, ZimAlloys, over the release of excess claims that it holds for re-distribution to indigenous small-scale miners and other interested players.

Last year, the Government directed Zimasco and ZimAlloys, which together held over 80 percent of chrome ore claims in the country, to release at least 50 percent of their claims for re-distribution.

So far, Zimasco has complied with the directive, ceding claims amounting to 21 270 hectares, which will be re-distributed to various beneficiaries including small-scale miners and medium scale beneficiation plants and new smelters.

Mines and Mining Development Minister Walter Chidhakwa said negotiations with ZimAlloys had dragged on for longer than expected, but insisted the process was nearing completion.

“They (ZimAlloys) are saying well, the ground that we are giving you has a lot of chrome. Then we say give us the geological report to show how much chrome there is, they do not have the geological reports. So we say if you do not have the geological reports, you cannot say the claims that we have given you have much more chrome,” he said.

“We anticipate that ZimAlloys will release some of its chrome claims in the very near future and that the Government will proceed to also distribute these to our indigenous people.”

Concentrated mainly along the Great Dyke, a linear geological feature that trends nearly north-south through the centre of the country passing just to the west of Harare, the chrome deposits are the second largest in the world after South Africa.

Zimbabwe is anticipating to double chrome ore production this year to 550 000 tonnes from 284 943 tonnes last year. Ferrochrome (refined chrome ore) production is also expected to increase to 300 000 tonnes up from 149 000 tonnes.

Last year, Zimbabwe realised $115 million from the export of 149 000 tonnes of ferrochrome compared to $31 million earned from the export of 284 943 tonnes of raw chrome. —New Ziana.