Zimplats revealed yesterday (20th May) that it is considering setting up a precious metals refinery in Zimbabwe.

The company, which is a subsidiary of the world's second-largest platinum producer, Impala Platinum, is already planning a $500 million expansion of its Ngezi project.

There is currently uncertainty surrounding the implementation of new laws requiring foreign miners to transfer majority stakes to local companies in the country.

However, Zimplats dismissed reports that the impasse has forced it to put its plans on the backburner as "erroneous".

"Zimplats remains fully committed to the development of its resource base for the benefit of the country and all its stakeholders," read a statement from the company.

"In addition, Zimplats is also considering large-scale investment that will result in the establishment of refinery facilities in the country."

Zimbabwe, which has the world's second biggest reserves of platinum after South Africa, does not possess a refinery at present.

Zimplats confirmed recently that it produced 93,845 oz pgm 4E (platinum, palladium, rhodium and gold) in Q1 2010, representing a small decline from the figure of 94,670 oz from the previous quarter.

Source:

Zimplats mulls Zimbabwe refinery, mine expansion on (20/05/10)

© Adfero Ltd