PROSPECT Lithium Zimbabwe (PLZ), which recently started mining and processing at its operation in Goromonzi district, has stockpiled 30 000 tonnes of processed lithium salts from which 10 000 tonnes have been exported since the first sale towards the end of last month.
PLZ, which aims to be world’s biggest lithium producer, wants to produce between 30 000 and 40 000 tonnes of processed lithium per month and has an installed capacity of 4,5 million tonnes of ore annually from which 500 000 tonnes of lithium concentrate would be exported.
Lithium is globally traded as lithium carbonate and lithium hydroxide as the metal is exceptionally volatile, bursting into flame in the presence of water or moisture.
In an interview after a tour of the mining project by journalists yesterday, Prospect public relations executive Mrs Rugare Dhobbie said the ongoing commissioning of the plant had seen them producing at 25 percent and going forward output was expected to rise.
“Ever since that time (commissioning), we have been progressing very well and we have seen more product coming in,” she said.
“The commissioning stage is a stage whereby we are interlinking the machines; we really want how the machines work and how they relate to each other and as we are doing that, each and every time, we are upgrading and also the figures in terms of tonnage produced comes on the increase.
“Ever since we started selling the product and commissioning the plant, we have exported about 10 000 tonnes to the market.
“So we are happy and we think as we progress to the commissioning stage, and as we get into full production things will be well projecting to sell 30 000 to 40 000 tonnes of the product per month.”
At the moment, PLZ which is a local subsidiary of China’s Huayou International Mining is producing petallite and spodumene.
The lithium project follows the conclusion of a US$377,8 million upfront cash consideration last year under a share sale agreement from Prospect Resources by Huayou International Mining for 87 percent stake in PLZ.
Briefing journalists before the tour of the lithium mine, Mrs Dhobbie said her organisation, which aims to be the world’s largest lithium producer, has started production in line with the Government’s thrust to attain a US$12 billion mining economy by the end of this year.
“In all this, we want to contribute to the country’s Gross Domestic Product and the Government’s US$12 billion and we (PLZ) also want to be the largest lithium producer in the world,” she said.
In 2019, the Second Republic launched the US$12 billion mining industry strategy by the end of this year with lithium, one of the strategic minerals to the attainment of the envisaged milestone expected to contribute US$500 million.
Gold, which is the major foreign currency earner is anticipated to contribute US$4 billion, platinum US$3 billion, diamonds US$1 billion while chrome, ferro-chrome and carbon steel will generate US$1 billion, and coal US$1 billion.
Apart from the above, other minerals are expected to generate US$1,5 billion.
Before the launch of the mining industry roadmap, the sector’s contribution stood at US$2,7 billion in 2018 and the figure has since registered phenomenal growth accounting for US$5,3 billion in 2021.
The US$12 billion mining industry is anchored on increasing production through the re-opening of closed mines, expansion programmes and new investments in the mining sector.
At present, the mining sector accounts for 73 percent of foreign direct investment, 83 percent of exports, 19 percent of Government revenues, 2 percent of formal employment and 11 percent of individual incomes. – The Herald
