Electricity imports from Mozambique are to be permitted in Zimbabwe - a development that could ease fears at Impala Platinum's mining operations in the country.

The importing of power is to be allowed after the Chamber of Mines signed a memorandum of understanding with Zimbabwe's power utility, MiningMX reports.

Impala Platinum, whose subsidiary Zimplats operates in Zimbabwe, has expressed concern over the lack of reliability of Zimbabwe's power supply which it says has caused reduced output at its operations.

News of the development comes as Impala Platinum faces an uncertain future in Zimbabwe following President Mugabe's government last week passing a law forcing foreign-owned companies to cede a 51 per cent controlling share to indigenous black Zimbabweans.

The law has prompted fears that Impala Platinum's plans to expand its interests in Zimbabwe and increase output at its Mimosa mine to 500,000 oz per year will be put in jeopardy.

Douglas Verden, CEO of the Chamber of Mines, said: "We're extremely concerned with this issue."

Source:

Zim miners rescued by power deal, 02/10/07
http://www.miningmx.com/mining_fin/605071.htm

Impala moves to ease shareholders' fears, 01/10/07
http://www.platinum.matthey.com/media_room/1191232809.html

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