Staff Reporter
Bikita Minerals Company is constructing a new Spodumene lithium plant to be completed by June 2023, as the lithium plant seeks to treble its production.
A source from Bikita Minerals informed this publication that the company was expected to complete its new lithium processing plant in June this year adding that it would double its revenue after metals giant Sino-Mine took over the country’s oldest petalite mine last year.
“When Sino-Mine took over in February 2022, we were producing plus or minus 2 500 tonnes per month and our prices were around US$500 per tonne. Pre-COVID, we were doing approximately US$25 million annual revenue, but in 2022 we recorded an increase in our sales to US$47 million. In 2023 we are projecting an upward target of US$750 million depending on the commissioning of the new plant; by 2024, we will be looking at US$1 billion annual revenue,” said the source.
The source further revealed that the new plant would target an average product grade of 5-5.5% lithium oxide.
"Sino-Mine would be hoping that its projected lithium grade of 5-5.5% would offset the impact of current low prices,” said the source.
Bikita Minerals is also constructing a 113 kilometer and 132-kilovolt power line from the existing Tugwi substation to the planned Bikita Minerals sub-station so as to secure power supplies. The mine would install sub-station ancillary services, protection equipment, metering equipment, and power network control and telecommunication system.
"Bikita will ensure that the new sub-station will supply power beyond the mine, to other areas such as Gonye, Nyika, Chivaka and the Bikita local load. The completion of the new plant will see the company employ 1000 permanent workers,” said the source.
An economic analyst, Tawanda Bhunu mentioned that the domestic production of lithium could create new employment opportunities leading to the creation of special economic zones.
“The lithium industry would open up special economic zones and employment opportunities for the locals. Lithium can also be used in rechargeable batteries for mobile phones, laptops and electric vehicles,” said Bhunu.
Meanwhile, the construction of the new lithium plant goes a long way in aiding Government’s plan of growing a US$12 billion Mining Industry Economy by year-end as the lithium sub-sector is projected to contribute US$500 million.
