Karo Resources said yesterday that it will begin operations on its investment project worth $ 4.2 billion in Mhondoro-Ngezi over the next few weeks by performing geophysics and flying over the area as part of a program to research and quantify resources.
The miners' giant presented yesterday to President of Mnangagwa, their financiers, the African Financial Corporation (AFC), who said they were willing to invest $ 2 billion in the platinum mining project, which would generate at least 90,000 jobs for the locals. Representatives of the mining company said that the project was on track and simply follows the period of pregnancy that comes with projects that are the same.
A senior delegation from the Karo Resources mining group, headed by President Loucas Pouroulis, paid a courtesy call to President of Mnangagwa at the Munhumutapa office in Harare, in the company of AFC officials, where they disclosed details of the project.
Samuel Zubair, President and CEO of AFC, said at a news conference after the meeting that his organization is ready to support the project with an initial capital contribution of $ 2 billion.
Mr Zubairu explained that such projects are taking place so that they can then generate revenues from initial capital investments, but in the case of additional capital needed outside the project, the AFC will still be mobilized.
"We are here to introduce the AFC to the President of Zimbabwe to express our support to the Government of Zimbabwe for an industrial plan and infrastructure plan, and we commit ourselves to working with Karo Resources to implement this project," Zubair said.
"We are committed to fully supporting the project. The project is in progress – the first phase is $ 2 billion. The way the projects operate is to start with a specific point and then build as you go.
"Normally, sometimes when you start with perhaps $ 400 million, you can get the capital and keep it out of business and continue. Start the project, develop some revenue from the project, re-invest and join all partners.
Mr Zubair said that they will work with Karo Resources to start the project.
"As the project continues to develop, we will continue to invest in the project and mobilize additional capital to invest in the project," he said.
President of Mnangagwa, who in March directed the Ministry of Mining and Mining to ensure that Karo Resources kept its hands, said at the same press conference that the project was conducted and that it opposed media reports.
"When I read what you (journalists) wrote, I was worried," he said. "Now I am so clear that I can not go with what you write. I have to go with what people in the field actually do. So, now I know that the project is of course, the media is not on the way."
Head of State Karo Resources dr. Josephat Zimba said that the company's desire is to unite a world-class project that will not negatively affect future generations, which means that the letter follows the EMA regulations.
He said that in the next few weeks the company would start geophysics, which will see how they fly over the area as part of the program for exploring and quantifying resources.
"Today we have done to evaluate the president of the republic of our country on the progress of the project," said Dr. Zimba. "Our group reaffirmed its commitment to implementing this global project here in Zimbabwe and we have seized the implementation of EMA's approval and I must stress that EMA approval is a regulatory requirement.
"In the coming weeks you will begin to see, we will do geophysics, we fly over the area as part of a program for researching resources and a program of quantities."
In the first stage, the projected production in 2006 is expected to produce 3.6 million tons of ore and 350,000 ounces of metal platinum, which will improve to 14.4 million tons of ore and 1.4 million oranges of metal platinum in 2023.
As part of the agreement, refineries of base metal and precious metal refineries will also be made, which will directly provide for 15 000 people and a further 75 000 indirectly. – state media