A leading South African engineering and construction firm yesterday (30th June) highlighted the huge potential of the pgm mining sector in Zimbabwe.

Anglo Platinum and Impala Platinum - the world's two largest producers of the precious metal - currently have major interests in Zimbabwe despite its economic turmoil.

Now the Zimbabwean division of Murray and Roberts (M&R) has explained that the future of the mining industry in the mineral-rich country looks particularly bright.

Chief Executive Canada Maunga was quoted by Reuters as saying: "We have taken a position that this (mining) is a key growth market area for us.

"China is definitely here, they are very competitive and we believe the South Africans are coming in strongly as well."

The company recently completed a platinum concentrator for Impala - which is set to launch a $350 million (£212.8 million) mine expansion in Zimbabwe this year - at the Ngezi mine.

Meanwhile, Anglo is pressing ahead with its 150,000-oz-per-year projects aimed at the country's platinum reserves, which are the second-largest in the world after South Africa.

Although Zimbabwe needs $10 billion to tackle its ravaged economy, Steve Hanke from John Hopkins University in the US echoed M&R's comments about its potential.

"The investment opportunities are fantastic and growth potential phenomenal," Mr Hanke, who wrote a book on hyperinflation in Zimbabwe last year, told the news provider.

"The good news is that these reforms can be done quickly."

M&R Zimbabwe has also revealed that it intends to spend $15 million on capital expenditure in the country over the course of the next three years.

Source:

Zimbabwean M&R seeks growth from mining contracts (30/06/09)

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