Zimbabwe produced 30 metric tons of gold in 2023
Despite electricity cuts and currency volatility, Zimbabwe produced 30 metric tons of gold in 2023, 15% less than the previous year.
Due to an extended economic crisis, the southern African country has fallen far behind regional peers Ghana, Mali, Burkina Faso, Guinea, and Tanzania in gold production.
Due to concerns over government policy and property rights, and the seizure of white-owned farms at the turn of the century, Zimbabwe remains largely underexplored and its operating mines struggle to raise capital.
Zimbabwe's output dropped to just 3 tons in 2008, the height of its political and hyperinflation crisis. In spite of the country's significant potential, production lags behind its regional peers, reaching an all-time high of 35 tons in 2022.
Fidelity Refineries, a state-owned company that processes all gold produced in the country, reported that the country's gold haul of 30.11 tons fell short of the government's target of 40 tons for 2023.
All Zimbabwean gold producers receive 75% of their earnings in U.S. dollars, with the balance in a local currency that lost more than 80% of its value last year.
Power cuts have also intensified as a result of frequent breakdowns of the country's coal-fired plants, as well as low water levels at the Kariba hydropower station.
An artisanal and small-scale mining structure dominates Zimbabwe's gold production, which lacks the advantages and efficiencies of scale.
The country's top gold producers include the state-owned Kuvimba Mining House, Caledonia Mining Corporation (CALq.L), Padenga (PHL.VF) and RioZim (RTNR.ZI).
The Zimbabwe currency is one of the currencies we are watching.
