Caledonia reports above-expectation drilling results at Zimbabwe mine
A new potential orebody has been intersected in the Blanket orebody area of the mine, with the company highlighting 'impressive' grades and widths.
The programme is aimed at evaluating the continuity of the mineralised zones on the Blanket, Eroica and Lima orebodies, which comprise three of the main orebodies at the mine.
It also aims to increase the confidence levels of the existing mineral resource and to grow the mineral resource estimate (MRE) below the 34 level of the mine (1 110 m).
'Our ongoing drilling campaign continues to demonstrate encouraging results, further improving our confidence in the Blanket mine mineral resource and pointing to additional future mineral resource growth.
'The grades and widths we are seeing from this drilling campaign are as good as and, in some cases, considerably better than, results from previous drilling campaigns, which is highly encouraging,' Caledonia CEO Mark Learmonth says.
'We anticipate that the positive grades and widths will result in an increased overall MRE, which in due course should result in the extension of the existing life-of-mine.
'We have invested heavily in Blanket mine over the last seven years to increase production capacity, resulting in mine infrastructure that can sustain production beyond the current production horizon,' he adds.
© Copyright The Zimbabwean. All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info).
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
an hour ago
- Zawya
Another Zimbabwe gold coin sale registers little for most
A gold coin is displayed at the Reserve Bank of Zimbabwe. The central bank stopped minting gold coins in April 2024, before reissuing more coins from its stock a year later and then abruptly halting the sale in mid-June. Economists said the move had little effect on Zimbabwe's broader currency crisis. HARARE, ZIMBABWE — With the price of gold up globally, the Reserve Bank of Zimbabwe in April put the gold coins it stopped minting a year earlier back on the market. But interested investors had to act fast. By mid-June, the sale of coins from its accumulated stock was abruptly concluded and another chapter of the currency chaos that has characterized the nation's economy for decades was in the books. This time, at least, economists say the experiment had little effect. The short-lived sale is just the latest example in a long line of inconsistent policies, says Ithiel Mavesere, a lecturer in the economics and development department at the University of Zimbabwe. Storing value in a gold coin is not a viable option for the majority of the population, he adds. 'Ideally, what they should have done is come up with low-value coins, with denominations as low as equivalent to US$20 for the majority of the population to afford,' Mavesere says. However, Reserve Bank of Zimbabwe Governor John Mushayavanhu says in a written response to Global Press Journal that the gold coins were effective as an alternative investment instrument and there was huge demand from both corporations and individuals. According to RBZ data, corporations bought about 79% of the gold coins and individuals bought about 21%. About US$12 million's worth sold The lowest denomination of the coins represents a tenth of an ounce of gold, equivalent to 9,299.13 in Zimbabwe gold, or ZiG, the national currency, or about US$347. The highest denomination of the coins represents one ounce of gold, equivalent to ZiG 92,991.34 or about US$3,470. In all, the central bank has sold gold coins worth ZiG 343 million, or about US$12.8 million, according to Mushayavanhu, who says the recent sale happened after the bank noted increased demand following the rise in international gold prices. 'In this context, the Reserve Bank re-issued an accumulated parcel of gold coins from a combination of gold coins which had been bought back from the market through redemptions and some coins which were still being held at the Reserve Bank from the previously minted stock,' the governor wrote. A statement from the bank in mid-June announcing the halt to the sale indicated it had been intended to clear the stock of gold coins it had and those that had been cashed in by their holders. Mushayavanhu says the bank stopped minting gold coins in April 2024 to prioritize its gold reserve which, along with foreign currency reserves, backs the Zimbabwe gold currency. He says foreign reserves increased from US$270 million in April 2024 to US$731 million as of the end of June. The central bank first introduced the Mosi-oa-Tunya gold coins — which share an indigenous name for Victoria Falls — in 2022 at a time when the country was experiencing currency instability with high inflation and continued devaluation of what was then the national currency, the Zimbabwe dollar. The coins aimed to reduce dependency on the US dollar and help stabilize the economy. The coins helped mop up excess cash in local currency that was circulating in the market. Coupled with other monetary measures in 2022, the monthly inflation rate dropped from about 31% in June to about 12% in August that year. However, the exchange rate of the Zimbabwe dollar drastically fell against the US dollar and the government replaced it with the new Zimbabwe gold currency in April 2024. Since its introduction, the currency's value has been cut in half. A 'drop in the ocean' Lyle Begbie, an economist with Oxford Economics Africa, believes the sale of the gold coins when they were introduced in 2022 was more of a revenue-generating scheme, as it happened at a time when inflation was very high. He says it makes sense that the recent sale of gold coins was influenced by the increase in gold prices on the global market. But he adds that the value of gold coins was too little to have an impact on the economy. Begbie says the US$12.8 million in coins the central bank reported selling is less than 1% of Zimbabwe's gross domestic product — which the World Bank estimates at US$44 billion — a 'drop in the ocean' when it comes to the country's macroeconomic picture. Prosper Chitambara, an economist based in Harare, agrees the impact of the recent sale was minimal. He says gold coins don't have a significant impact on currency stability in an economy like Zimbabwe's, which is highly informal and also highly dollarized — meaning it's heavily reliant on the US dollar as a currency. 'Most economic agents in our economy prefer to transact using their US dollars because it's a highly tradable and highly liquid asset. … So there's a huge confidence and trust in the USD than in the gold coins or even in the Zimbabwe gold,' Chitambara says. Samuel Wadzai, the executive director of Vendors Initiative for Social and Economic Transformation, an organization in Harare that advocates for the informal business sector, says there have been a few instances where members have tried to use gold coins for everyday transactions, but it hasn't been widespread. 'Most traders still prefer cash due to the challenges of acceptance and the limited understanding of gold coins in everyday trade,' he says. Gamuchirai Masiyiwa, GPJ Zimbabwe Isheanesu Kwenda sets up his clothing stall along Park Street in Harare. Like many in Zimbabwe's vast informal economy, the street vendor says he has never bought gold coins and prefers to store value in US dollars. Isheanesu Kwenda, 31, a Harare street vendor with a sociology degree, says the recent sale of gold coins didn't offer any benefit for him. Like many Zimbabweans, he has heard about the gold coins, but has never seen or opted to buy them. The vendor is part of Zimbabwe's informal economy, which sustains over 80% of Zimbabwe's population and contributes nearly 72% to the country's GDP. 'Street economics informs that you should not attempt to get something you are not sure of or do not understand. … I prefer to sell my goods and keep my money in US dollars because it holds value, or I can keep my money in stock,' Kwenda says of the clothing he sells. Last year, Kwenda lost more than half his earnings after Zimbabwe gold was introduced. After being paid the equivalent of US$1,000 in Zimbabwe dollars, he only managed to salvage US$360 and lost the rest in exchange rate losses. For Kwenda, restoring confidence is simple: The government must stick to a plan, without making sudden U-turns. Gamuchirai Masiyiwa is a Reporter-in-Residence based in Harare, Zimbabwe. An internationally acclaimed economic reporter, her award-winning work includes a Clarion Award for her innovative comic feature on Zimbabwean currency. Gamuchirai holds a bachelor's degree in Political Science and a diploma in Journalism and Mass Communication from the University of Zimbabwe. She brings deep expertise and a fresh perspective to reporting on economic issues impacting her community. © Copyright The Zimbabwean. All rights reserved. Provided by SyndiGate Media Inc. (
Zawya
3 hours ago
- Zawya
Congo's cobalt ban leaves Glencore with unsold stockpiles
Glencore said that a significant portion of its cobalt production was likely to remain unsold by the end of 2025 due to the Democratic Republic of Congo's suspension of cobalt exports. DRC, the world's top cobalt supplier, imposed a four-month suspension on exports in February after prices hit a nine-year low, and then extended it by three months in June. The export ban aimed to curb the global cobalt oversupply, while the extension gave the government more time to work out how to distribute export quotas among mining companies. "The extension of the export ban is expected to significantly tighten cobalt availability and accelerate inventory drawdowns, providing support to prices," Glencore said in its first-half results statement. The company informed an analyst call that it was being "quite conservative" about its assumptions, and there would be no material effect on its financial results even if it were unable to sell any cobalt from the DRC for the rest of the year. If some volumes start to move, it would be an upside, it added. Glencore, the world's second-largest cobalt-producing company, declared force majeure on some deliveries of cobalt from the DRC earlier this year, sources familiar with the matter told Reuters in June. The company stated that it had been stockpiling its DRC cobalt production in the country since the export ban was imposed. It did not say how much cobalt had been stockpiled. In January-June, Glencore's total cobalt output from its sources rose 19% year on year to 18,900 metric tonnes. Its 2025 production outlook is 42,000-45,000 tonnes, up from 38,200 tonnes in 2024.
Zawya
8 hours ago
- Zawya
Saudi Maaden H1 profit up 73% on higher sales; revenue hits $4.8bln
Saudi Arabian Mining Company (Maaden) has reported a 73% jump in its net profit for the first half, which soared to SAR3.47billion ($924 million) from SAR2.01 billion ($535 million) last year, mainly driven by higher consolidated sales volumes and stronger commodity prices. Announcing the financial results for the six-month period ended June 30, 2025, Maaden said its revenue too registered solid growth hitting SAR17.93 billion ($4.8 billion), up 23% over last year's figure of SAR17.93 billion. The revenue growth was mainly boosted by the jump in phosphate and flat-rolled aluminum sales, as well as improved market pricing. Ebitda also increased 23% to SAR7.25 billion, marking the company's second-highest first-half result on record. The Saudi mining giant had generated SAR3.93 billion in operating cash flow during the period and ended the first half with SAR10.37 billion in cash and equivalents. The company's net debt-to-ebitda ratio stood at 1.7x, below its target range. Among its key achievements for H1 was Maaden's subsidiary, Maaden Wa'ad Al Shamal Phosphate Company (MWSPC) making an early debt repayment of SAR2.1 billion, representing around 6% of Maaden's total consolidated debt. On its Q2 operational highlights, the state-backed miner said it included record quarterly production of diammonium phosphate (DAP) and progress across several strategic initiatives. In July, Maaden completed the acquisition of a 25.1% stake in Maaden Aluminum Company and Maaden Bauxite and Alumina Company from US-based Alcoa, giving it full ownership of both assets. The company also approved a final investment decision to proceed with its Ar Rjum gold project in the Central Arabian Gold Region, expected to produce around 300,000 ounces of gold annually. Exploration activity accelerated in the Wadi Al Jaww region, with the company citing promising initial results. Maaden also signed a MoU with U.S.-based MP Materials to explore development of a fully integrated rare earths supply chain in the Kingdom. Additionally, it signed a five-year deal to supply 3.1 million metric tonnes of DAP annually to three major Indian fertilizer firms, securing off-take for roughly half its annual DAP production. On the solid performance, CEO Bob Wilt said Maaden was well positioned to deliver a strong second half as it pursues its growth strategy and continues to develop Saudi Arabia's mineral resources. "During the first half of 2025, we delivered the second highest H1 ebitda, maintained strong momentum in our pursuit of operational excellence by setting record quarterly production in Phosphate, achieving ongoing exploration successes, advancing projects and building key partnerships," he noted. "We fully consolidated our aluminum portfolio in MAC and MBAC, closing the acquisition of the remaining 25.1% of Alcoa's stake post period on July 1 2025. Also we are moving forward with the Ar Rjum project toward FID, which will allow us to develop a new gold asset expected to produce around 300,000 ounces annually in the Central Arabian Gold Region," stated Wilt. "We also continue to uncover more of the KSA's mineral wealth as we accelerate exploration in Wadi Al Jaww, driven by promising initial results." said the top official. "Looking ahead, I am confident that we will deliver strong results in the second half of 2025 as we progress our growth strategy, drive forward with our exploration program and maintain operational excellence across our businesses. We remain committed to creating long-term value for shareholders and profitably advancing mining as the third pillar of Saudi Arabia's economy," he added.- TradeArabia News Service Copyright 2025 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
