Zimbabwe’s Mimosa revives $130 million platinum project after price rebound

Zimbabwe’s Mimosa platinum mine, jointly owned by Impala Platinum and Sibanye Stillwater, is reviving its $130 million North Hill life-extension project after a rebound in metal prices, an executive said on Thursday.

Mimosa, Zimbabwe’s second largest platinum producer after Impala’s Zimplats, suspended the project in 2024 as prices plunged amid destocking, weak automotive demand and expectations of rapid electric-vehicle adoption.

Prices of platinum group metals (PGM) used in autocatalysts have since recovered, supported by tight supply from top producer South Africa and slower-than-expected EV uptake.

Mimosa, which produces about 250,000 ounces of PGM concentrates annually, is considering an extension to its mine life as the South Hill ore body depletes and becomes more expensive to mine, general manager Stephen Ndiyamba said at a mining conference in Victoria Falls.

“Currently, we are working internally on consideration of a life of mine extension project which will require a capital investment of about $130 million,” Ndiyamba said.

“This has the potential to replace our current operations at South Hill and increase life of mine by about 15 years,” he added.

South African miners, which account for about 70% of global platinum output, remain cautious about new projects to expand output despite the metal price rebound.

Citing the long-term threat from EVs, which do not require emission-control catalysts, companies including Impala favour life-extension projects to sustain output.

(By Chris Muronzi and Nelson Banya; Editing by Mark Potter)