Connect with us

Hi, what are you looking for?

BUSINESS NEWS

Kavango Resources Marks Major Milestone with Entry into Zimbabwe’s Gold Mining Sector

Mining in Zimbabwe

Kavango Resources Plc, a metals and exploration company focused on Southern Africa, announced that its entry into Zimbabwe’s mining industry marks a significant milestone, offering opportunities to invest in the profitable local gold sector.

Gold is Zimbabwe’s top export, with the mining sector contributing over 75% of the country’s annual exports. In 2023, Zimbabwe produced 30.1 tonnes of gold, with the government setting a target of 40 tonnes for 2024. Gold exports are projected to generate $4 billion annually for Zimbabwe from next year, up from the current $3 billion.

Kavango Resources, which entered Zimbabwe’s mining industry last year, also holds investments in various minerals, including copper in neighboring Botswana. The company acquired options on three projects in Zimbabwe and began operations swiftly.

According to Kavango’s internal review, the greenstone belts in Zimbabwe are highly prospective for bulk-mineable gold deposits, sharing similarities with some of Australia’s most prolific gold-producing regions.

Also read: Tshabangu Gets Millions After Taking Over CCC Leadership from Chamisa

Advertisement. Scroll to continue reading.

Recognizing this potential, Kavango entered into a two-year option agreement in June 2023 for the Nara project, which includes 45 gold claims in western Zimbabwe’s Matabeleland region.

In May 2023, Kavango, listed on the London Stock Exchange, sought to raise £3.08 million ($3.86 million) through an underwritten accelerated bookbuild, issuing 257.11 million new ordinary shares at 1.2 pence each. The funds were intended to support the company’s projects in Zimbabwe and Botswana.

Kavango has also formed a strategic partnership with Pambili Natural Resources Corporation, listed on the Toronto Stock Exchange, to revive operations at the Golden Valley Mine near Bulawayo.

In November 2022, Pambili signed a share purchase agreement to acquire the Golden Valley project, a gold-producing mine from White Satin Investments (Private) Limited, further expanding Kavango’s growth.

Additionally, Kavango plans to list on the Victoria Falls Stock Exchange (VFEX), a US dollar-denominated bourse, which will allow Zimbabwe-based investors to participate in its exploration and mining development ventures.

Advertisement. Scroll to continue reading.

This listing is expected to provide the company with a larger pool of capital, a broader shareholder base, and align with its strategic goals of fostering strong local ownership in its projects.

The VFEX, established in 2020, aims to drive the development of the International Financial Services Centre in Zimbabwe and operates in a Special Economic Zone in Victoria Falls.

For comments, Feedback and Opinions do get in touch with our editor on WhatsApp: +44 7949 297606 or Email Us at [email protected]

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Catch More Updates Below

BUSINESS NEWS

Harare, Zimbabwe | Preparations for Zimbabwe’s 2024/25 tobacco season are progressing well, with farmers expressing optimism about achieving a projected yield of around 300...

LOCAL NEWS

Bulawayo, Zimbabwe | Investigations into the US$4 million Ecobank robbery has intensified, with international agencies joining the pursuit. The Zimbabwe Republic Police (ZRP) has...

LOCAL NEWS

By Tonderai Willard Munengami, Chartered Accountant In a move that has sent shockwaves through the financial landscape of Zimbabwe, the Reserve Bank of Zimbabwe...

BUSINESS NEWS

Zimbabwe’s maize prices are anticipated to stay above global market levels for the 2024/2025 season, despite a global decline in prices, as the nation...

WORLD NEWS

In a recent crackdown on undocumented immigrants, South African authorities have apprehended several foreign nationals working without proper documentation. The operation, conducted in various...

BUSINESS NEWS

Starlink, SpaceX’s satellite internet service, has officially launched in Zimbabwe, marking a transformative step towards improving internet access in the country. This new service...

Zimbabwe Politics

Former South African President Thabo Mbeki has reignited a contentious debate by claiming that the xenophobic attacks on Zimbabweans living in South Africa in...

Sports News

Zimbabwe will take on Cameroon in their second Group J match of the 2025 Africa Cup of Nations (Afcon) Qualifiers on Tuesday evening. The...

Advertisement