Source: CMED acquires 20 chrome mine claims in diversification – herald
Business Reporter
State-owned enterprise CMED (Private) Ltd has secured 20 chrome mining claims as part of a high-stakes diversification strategy to complement its Government fuel supply mandate.
The move marks a significant shift for the company, which previously held the exclusive rights to supply fuel to all Government ministries and departments.
That landscape changed in 2022 when the Government shifted 90 percent of its fuel procurement to Petrotrade, another State-owned entity, a decision CMED admits has severely constrained cash inflows and stalled infrastructure modernisation.
CMED operates under a broad mandate to provide essential transport services and heavy equipment for major infrastructure projects, including roads, dams and bridges.
While the organisation maintains the flexibility to pursue diverse commercial opportunities outlined in its Memorandum of Association, such as its recent venture into mining and hospitality, it remains strategically committed to prioritising Government requirements.
The dual approach ensures it supports national developmental goals while adhering to sound, profitable business practices.
According to a management presentation at the company’s strategic workshop in Bulawayo in November 2025, CMED is already seeing early success at its Mapinga chrome mine, where it is extracting high-grade chrome ore.
The mine has yielded a premium grade of 54,5 percent, above the regional average for the Great Dyke.
Since operations began earlier this year, the mine has produced 700 tonnes of ore.
CMED plans to ramp up production to 1 000 tonnes per month by deploying additional machinery and equipment.
“The reduction in cash inflows from the Government mandate affected our ability to upgrade infrastructure,” CMED said.
“Through mining and the Direct Fuel Imports programme, we are creating the capital necessary to modernise our operations and meet 21st-century standards.”
By acquiring 20 independent blocks, CMED aims to build a sustainable revenue stream that is less dependent on Treasury-funded fuel contracts.
Looking ahead, CMED is moving to modernise its remaining fuel operations.
The company recently completed feasibility studies for 31 new fuel sites and is actively seeking to expand its national service station network.
Expanding its portfolio further, CMED is venturing into the hospitality industry with plans to construct the Kariba Hotel and Conference Centre through a Public-Private Partnership (PPP).
CMED is also pivoting its medium-term strategy to the electric vehicle (EV) market by establishing a new sales unit for Battery Electric Vehicles (BEVs) and e-buses, as well as starting local production of low-speed electric vehicles (LSEVs).
The new sales unit for BEVs and e-buses will target key institutional buyers, including Ministries, Departments and Agencies (MDAs), parastatals, State-owned enterprises, corporates, as well as individuals.
A fully electric double-cab pick-up is currently undergoing trial runs for potential integration into the CMED fleet and subsequent commercial sale.
Leveraging skills acquired from India, CMED has started working on the first Neighbourhood Electric Vehicle (NEV) at its Coventry branch.
These NEVs will have a top speed of 40 kilometres per hour and a range of 80km, specifically targeting sectors like agricultural extension officers, rural transporters, farmers, and golfers.
Recognising that infrastructure is the largest barrier to EV adoption, CMED has made a significant commitment to rolling out charging points nationwide.
The company has already installed 10 charging piles in Harare and Victoria Falls, achieving an estimated 15 percent of its 2025 rollout target.
The strategy aligns with the National Development Strategy 2 (NDS1), which encourages state enterprises to seek profitability and operational self-sufficiency.
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