Gold deliveries on the increase

 Staff Reporter

Gold delivery to Fidelity Printers and Refinery (FPR) has increased during the first half of the year, a positive situation that will ensure the sector successfully attains its target of being a US$12 billion Mining Industry by 2030.

The first half of 2022 saw a positive increase in deliveries to 15 976.7kgs from 9 954.67kgs, representing a 60.89% increase compared to deliveries during the same period in 2021.

Credit has been attributed to the Artisanal miners, for recording a growth of 117.85% to 10 459.48kgs during the first half of 2022 from 5 153kgs in the comparable period of 2022.

Furthermore, small scale miners accounted for 65.47% of total gold delivered during the six months of 2022 from 48.23% during the comparable period in 2021.

Meanwhile, the primary producers increased gold output by 345kgs, a 6.69% increase, of 5 498.41kgs from 5 153.49kgs.

The increase was mainly attributed to the continued firmness of the international gold prices, ramping up production by primary producers through incentives.

The package of incentives announced earlier last year in 2021 by Minister of Finance and Economic Development Professor Mthuli Ncube includes incremental output schemes, enabling mining firms that opted to be listed on the Victoria Falls Stock Exchange earning much higher incentives on their incremental output, and a further 5% incentive to those who deliver 20kg plus.

Primary producers such as Caledonia which are one of the top producers of gold increased production by 29% to 1 094.46kgs during the first half of 2022 from 847.85kgs over the same period in 2021.

Freda Rebecca Gold mine increased production capacity of gold to 250kgs per month from 220kgs owing to the new crushing machine which has a capacity of processing more than the usual 190 000 tonnes to 230 000 tonnes per month.

This increase in gold deliveries will earn the country the much needed foreign currency; achieve the $12billion Mining Economy by 2023 and attain the country’s target of 100 tonnes of gold deliveries by 2023.

Meanwhile, gold is also expected to increase in production in the second half due to the new buying centers that are being set up in Makaha, Mutoko and Shurugwi, by Fidelity Gold Refinery.