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Source: Mining drive billion-dollar rural industrial push – herald

Samuel Kadungure
News Editor
TWO of Buhera’s largest mining companies—Sabi Star Mine and Dorowa Minerals Limited—are establishing value addition and beneficiation infrastructure in line with the national ban on raw mineral exports, particularly lithium.
The projects are expected to spark rural industrialisation in one of Manicaland’s driest and most impoverished districts.
The developments were highlighted during Vice President, Dr Constantino Chiwenga’s tour of the two mines this week.
Following his visit to Dorowa Minerals, which is being revived through a US$5,3 million injection from the Mutapa Investment Fund, and to Sabi Star Mine, VP Chiwenga expressed satisfaction with progress at both sites.
He underscored the importance of ensuring that all mineral output is value-added and beneficiated to drive industrialisation and economic growth in Buhera.
Phosphate produced at Dorowa is a key input in the manufacture of Compound D and Nitrogen, Phosphorous and Potassium (NPK) fertilisers at Zimphos and the Zimbabwe Fertiliser Company (ZFC).
“When I last visited Sabi Star Mine, the power plant was not yet operational, but it is now up and running. They have also discovered substantial tantalite deposits, diversifying their operations. We have discussed the way forward, emphasising beneficiation and value addition to grow the manufacturing sector,” said VP Chiwenga.
He stressed that rural development and industrialisation must go beyond the ban on raw mineral exports, focusing instead on sustainable growth through manufacturing, infrastructure development, and corporate social responsibility.
“Extracting minerals without adding value does not contribute to sustainable growth. We must prioritise industrial growth, manufacturing and infrastructure development for current and future generations. These companies are producing significant quantities, but production must now be directed towards value addition and beneficiation,” he added.
VP Chiwenga said the country is now firmly on track, noting that new equipment has been installed at Dorowa Minerals and that fertiliser production has become critical to sustaining crop yields.
“The plant itself is a marvel. Fertiliser has become key to our crop production. Because of the geopolitical situation, much of the fertiliser we used to source was produced in the Middle East; we now need to produce fertiliser ourselves. We want a Whole-of-Government approach to ensure all required steps are carried out concurrently so that we can produce enough of our basic fertiliser,” he said.
Dorowa Minerals Ltd general manager, Mr Hensen Mambo, outlined ambitious plans to unlock US$1,2 billion for the Shawa all-in-one project, which will replicate Zimphos’ operations and target regional markets.
The first phase, requiring US$525 million, will establish a mine, fertiliser production facility, and acid plant, designed to meet Zimbabwe’s needs and supply SADC, COMESA, and wider African markets.
“At a strategic level, Dorowa owns the Shawa claims, which contain higher-grade phosphate, vermiculite, and magnetite. The long-term strategy is to unlock funding for the project and produce beyond national requirements. We are engaging partners and exploring debt financing through Afrexin Bank and other multilateral institutions,” said Mr Mambo.
The mine is expected to produce 150 000 tonnes of phosphate concentrate annually, covering more than half of Zimbabwe’s basal fertiliser demand.
Mr Mambo added that full-capacity operations will significantly lower costs for farmers.
“Currently, a bag of basal fertiliser costs about US$35. Once we are fully operational and aligned with other key enablers, we believe the price could drop to around US$20, making fertiliser more affordable for the local agriculture sector,” he said.
Sabi Star Mine, a Maxi Mind Zimbabwe subsidiary, has already accumulated two months’ lithium ore inventory since the ban – and is aligning operations with the Government’s value addition and beneficiation thrust.
Its chairman, Mr Zou Bill said they will develop downstream industries, leveraging their China-based battery material production experience, and are exploring new resources to implement this strategy soon. He revealed that the company has invested US$170 million in lithium mining operations, with an annual output of one million tonnes of raw lithium ore.

Mr Zou said production capacity is phased and demand-driven, with plans to combine lithium and tantalite ore production to extend the mine’s lifespan to over five years.
“In China, we are a big producer of battery material and accessories, so in Zimbabwe, we want to continue our development, and we want to develop and set up downstream industries. Now we are doing exploration, we are also seeking to acquire new resources, and we do not think this will take us long. Once we have gained enough resources, we will start implementing that strategic direction,” he said, adding that they have undertaken various community development initiatives in Buhera.
“We have established four community gardens fitted with solar pumping systems to support irrigation activities in Tame, Bhondai, Bonde and Tumbare villages, and also gave local farmers contracts to supply vegetables to the mine,” said Mr Zou.
The mine has also drilled 30 solar-powered water wells in North Buhera Constituency, where water scarcity poses a long-lasting challenge – with 10 boreholes drilled in schools and 20 sunk in different villages.
“Water provision has helped communities with clean and safe water for domestic use. This has helped to fight the cholera scourge in Buhera District,” said Mr Zou, adding that they have rehabilitated and widened the 37km road linking the mine and Gaza Business Centre, including culverts and waterways, easing transport problems for the local community.
“Last year, the company spent US$80 000 on resurfacing the Gaza-Sabi Road. We also built the Mukubu Community Clinic, and also bought medical equipment for the clinic. We painted 12 schools to improve their ambience and outlook. We also donated used tyres, metal drums and other assortment of materials to construct ECD centres to create more fun at the school and boost school attendance,” said Mr Zou, adding that they donated sporting materials – 66 balls to 11 schools – and supports excelling learners with awards during prize giving days, and also supports nearby schools with stationery and examination materials.
Mr Zou added that they offer support for the elderly and less-privileged through grocery hampers twice per year, after consultations with Village Health Workers (VHWs) to draw up the list of beneficiaries.
“In 2024, due to the El Nino-induced drought, the mine donated 30 tonnes of maize to 600 families,” he said.

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Source: OK business rescue seeks to stop haemorrhage – herald

Tapiwanashe Mangwiro

OK Zimbabwe Limited’s business rescue administrator is urgently seeking to “stop the bleeding” at the struggling retail giant, amid sweeping cost-cutting and operational restructuring measures already in motion.

Addressing the first meeting of creditors and shareholders in Harare earlier this week, Grant Thornton corporate rescue practitioner Mr Bulisa Mbano said the immediate priority was to stabilise the business by cutting unnecessary procurement, closing unprofitable outlets and restoring financial discipline.

“Now it begins, we need to stop the bleeding,” Mr Mbano said. “We need to stop buying things that do not move, stop buying things that are overpriced, and rationalise our stores.”

The meeting, held on March 18, marked the first formal step in proceedings initiated after the retailer was placed under corporate rescue on March 2, 2026, in terms of the Insolvency Act.

Mr Mbano’s strategy centres on isolating legacy debt while protecting new business activity under a legal moratorium designed to give the company breathing space.

“We need to find a way to quarantine the legacy issues and trade going into the future,” he said.

Under the corporate rescue framework, creditors are temporarily barred from taking legal action without the practitioner’s approval. Crucially, Mr Mbano said, all post-commencement transactions will be prioritised for payment.

“Anything happening from the 2nd of March going forward is secure,” he said. “Anyone who deals with us going into the future is safe.”

The approach is aimed at rebuilding supplier confidence, which has been severely eroded amid delayed payments and stock shortages.

Landlords were also told that rentals due from March 1 must be honoured, signalling a shift towards strict compliance with current obligations.

The urgency of the intervention is underscored by a sharp deterioration in the retailer’s financial performance.

Revenue for the 11 months to February 2026 plunged to US$40 million from US$245 million in the prior comparable period, representing an 84 percent decline. Sales volumes also dropped significantly, from 208 million units to just 32 million.

The company’s balance sheet reflects mounting pressure, with current liabilities of US$38,7 million far exceeding current assets of US$12,8 million.

Operationally, OK Zimbabwe has already shut down 15 underperforming stores, leaving 54 outlets still trading, though further rationalisation is expected.

“Which store are we running? Will this one work? Is this one profitable?” Mr Mbano said, indicating more closures could follow.

According to board chair Mr Charles Msipa, the retailer’s financial position worsened despite the US$20 million capital raise approved by shareholders in July 2025.

While part of the funds was used to reduce creditor debt, the injection failed to restore supplier confidence, leading to reduced credit lines and widespread stock shortages.

An attempted recovery strategy drafted earlier this year, based on consignment stock arrangements, also failed to gain traction.

Mr Mbano attributed the breakdown largely to longstanding weaknesses in the company’s IT systems, dating back to a failed upgrade in 2022.

“It was now difficult to do daily reconciliations,” he said, confirming that discrepancies between old and new balances made it hard to track supplier payments accurately.

The consignment model required precise reconciliation of sales and supplier accounts, but funds were held in a single pool, creating delays in identifying amounts owed.

As a result, suppliers could not be paid on time, undermining confidence and derailing the arrangement.

“The weekly report could not come out, and everything fell behind time,” Mbano said.

The retailer’s situation highlights a common challenge in corporate rescue cases, where companies seek protection only after their financial position has significantly deteriorated.

By that stage, supplier relationships are strained, operations disrupted and recovery costs substantially higher.

Zimbabwe’s updated insolvency laws aim to address this by holding directors accountable for trading while insolvent, encouraging earlier intervention.

Despite the scale of the challenges, the board maintains that the business remains potentially viable.

Mr Msipa said the company still holds significant assets, including property, equipment, skilled staff and an established customer base.

For Mr Mbano, however, the path to recovery will depend on restoring supplier trust and enforcing strict operational discipline.

The focus for now remains on immediate stabilisation, halting losses, securing supply lines and ensuring the business can continue trading under the protection of corporate rescue.

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Source: Mpofu, Chimombe applications for leave to appeal dismissed – herald

Fidelis Munyoro-Chief Court Reporter

THE Supreme Court yesterday removed from the court roll a case where jailed businessman Moses Mpofu sought condonation for late filing of his application for leave to appeal. Justice George Chiweshe dismissed the application, citing fatal defects.

The matter will now proceed on April 7 by consent, with Mpofu’s case consolidated with that of Mike Chimombe, who filed his application on time.

Both defence and State lawyers agreed to the postponement, which allows the defence to address issues relating to the application and gives the registrar of the Supreme Court time to ensure the record is clear and complete for the superior court.

Mpofu and Chimombe, dressed in khaki prison attire, attended the hearing via the Virtual Hub at the Supreme Court. However, technical challenges, including system breakdowns, forced the proceedings to shift to an open court for a physical hearing.

The duo seeks leave to appeal a High Court ruling dismissing their bid for relief. They want the Supreme Court to overturn their convictions and sentences for orchestrating a large-scale fraud involving the Presidential Goat Pass-On Scheme.

Justice Pisirayi Kwenda earlier rejected their arguments, labelling them “frivolous and vexatious.”

Mpofu was sentenced to 19 years, part of which is suspended on condition of repaying over US$2 million. Chimombe received 14 years, with a portion suspended on condition of repaying more than US$964,000.

The Supreme Court hearing will decide whether the pair can proceed with their substantive appeal against the High Court’s decision.  Until then, Mpofu and Chimombe remain in custody.

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Source: GreenFuel guarantees E20 blend – herald

Mukudzei Chingwere in CHISUMBANJE

GREENFuel, the country’s leading ethanol producer, has signalled its readiness to limit the impact of global fuel supply disruptions by guaranteeing up to 20 percent blend (E20).

This follows supply shocks linked to the war in the Middle East that have pushed up global fuel prices.

Vice President Dr Constantino Chiwenga visited GreenFuel’s Chisumbanje plant yesterday to assess mitigation measures amid recent price hikes – where petrol now sells at US$2,05 per litre and US$2,17 for diesel – which economists fear could accelerate inflation.

During the visit to the expanding ethanol plant, the VP urged ethanol producers to increase production and storage capacity to help shield the economy from international shocks.

GreenFuel highlighted direct price benefits from higher ethanol blending, saying motorists would save roughly US$0,18 per litre at the pump if the market used E20 instead of E5 – a significant relief for households and a meaningful cumulative saving for the economy.

VP Chiwenga directed the Minister of Energy and Power Development, July Moyo to convene ethanol producers to coordinate efforts to minimise fuel price volatility.

“With a storage capacity of 40 million litres and the increased production they have achieved, they can now ameliorate the petrol supply shocks we are beginning to experience,” said VP Chiwenga.

“The Minister of Energy and Power Development, the Honourable July Moyo, is here, and they will discuss how to address some of the major problems we now face.”

VP Chiwenga said it is now a matter of collaboration and coordination with the Ministry of Energy and all stakeholders in the fuel industry, to ensure supplies are maintained.

GreenFuel general manager Mr Conrad Rautenbach said the Chisumbanje expansion supports national resilience as well as business growth.

“As a company, we have been upscaling and upgrading throughout the years. Obviously, like everyone, we didn’t predict a crisis in the Middle East, but we tried to be prepared and to be self-reliant as a company and as a country,” Mr Rautenbach said.

“We have been expanding our sugarcane development, and we have been expanding on the factory side, the production side and on the storage side.

“We are going as fast as we can to develop. This year, the plan is to produce 120 million litres of ethanol and now, with our upgraded storage facility, we should be able to have E20 throughout the year instead of dropping to E5,” he said.

VP Chiwenga also visited Tanganda Tea Estates, lauding the company for adopting solar energy and for its outgrower scheme supporting over 1 000 tea farmers.

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Source: President to grace Ingutsheni luncheon – herald

Nyore Madzianike

PRESIDENT Mnangagwa will today grace the Ingutsheni Central Hospital fundraising luncheon to be held at the Zimbabwe International Trade Fair in Bulawayo.

The fundraising is aimed at raising US$5 million to be channelled towards the refurbishment of the referral hospital and construction of a state-of-the-art drug and substance abuse rehabilitation centre.

The luncheon is being organised by the Office of Vice President Dr Kembo Mohadi, in collaboration with the Ministry of Health and Child Care.

Ingutsheni Central Hospital chief medical officer Dr Nemache Mawere indicated that the referral hospital is in need of a facelift.

Dr Mawere said the central hospital has been operating under dilapidated infrastructure over the past years.

He expressed hope that Ingutsheni Central Hospital would be refurbished to the same standards as Parirenyatwa Group of Hospitals in Harare and Mpilo General Hospital in Bulawayo.

Refurbishment works at Parirenyatwa are almost 95 percent complete.

“The current state of our institution is not good. The hospital’s infrastructure is dilapidated due to years of neglect and poor maintenance,” Dr Mawere said.

“This needs to be done at a level similar to Parirenyatwa and Mpilo, which are currently undergoing refurbishment. The focus is on refurbishing the premises.”

Dr Mawere said the hospital’s wards need upgrading and there is also a need for the procurement of new laundry machines.

“The upgrades will help improve our work, staff morale and ambience for our clients,” he said.

“Preparations seem to be going well and we look forward to a very successful event. May all those who received invites respond accordingly.

“Also, even those that may have been missed by invitations, please feel very invited and contribute towards this just cause. Use your corporate responsibility for this national programme.”

Permanent Secretary in the Office of Vice President Dr Kembo Mohadi, Dr Benson Martins Dube, said those who wish to participate can send their contributions to the referral hospital.

Dr Dube said everyone is free to attend the fundraising luncheon.

“Please check the press for more details. Let us make the 20th of March a day to reckon with in realising the aspirations of the underprivileged and mental health care in Zimbabwe,” he said.

“To accommodate everyone and leave no one and no place behind, we have extended our tables to include Category D (US$500), Category E (US$200) and Category F (US$100).

“So, everyone is invited to participate at this fundraising event. Let us be part of this grand project,” he said.

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