Zimbabwe’s sovereign wealth vehicle, Mutapa Investment Fund, requires over US$250 million to expand the life of its gold mining operations under the Mutapa Gold Resources cluster and double production over the next five years.
MGR owns Freda Rebecca, the flagship gold producer, in Mashonaland Central, Shamva, Jena Mines and Elvington Mine in Mashonaland West.
Jena and Elvington gold mines are under care and maintenance.
Speaking during a tour of Freda Rebecca gold mine by Parliament’s Public Accounts Committee on Monday, Mutapa deputy chief investment officer Mr Ernest Denhere said the investment drive was critical to sustaining production growth and extending the lifespan of the group’s mines.
“Mutapa Gold Resources requires about US$250 million for life-of-mine expansion and we are currently working on a local debt syndication of US$75 million as a start,” he said.
He said the investment programme would support expansion projects across the group’s gold portfolio while also strengthening beneficiation and downstream value addition.
“Equally important to these initiatives is beneficiation and value addition. Mutapa Gold Resources is committed to moving up the value chain by strengthening local processing, refining and downstream linkages,” he said.
“This directly advances National Development Strategy (NDS2) priorities on industrialisation and local content by building domestic capability, creating higher value jobs and deepening skills development.”
Mr Denhere said retaining more value within Zimbabwe would broaden the tax base, support manufacturing inputs and stimulate new enterprises across the gold value chain.
“By retaining more value in-country, we help broaden the tax base, support manufacturing inputs and catalyse new enterprises across the gold ecosystem,” he said.
The parliamentary delegation toured the mine as part of ongoing oversight visits to strategic State-linked enterprises under the Mutapa Investment Fund stable.
Mr Denhere said MGR is targeting significant production growth over the next five years as part of a broader strategy to build a resilient and sustainable gold business capable of delivering measurable national economic impact.
“Currently, Mutapa Gold Resources produces 300 kilogrammes per month. In the month of March, we achieved a record production of 340 kilogrammes and we are projecting to produce 570 kilogrammes from 2028 through certain mine expansion initiatives,” he said.
He said Freda Rebecca Gold Mine currently accounts for about 70 percent of total group production.
“Our strategy begins with enhancing gold production through disciplined operational excellence and targeted investment across our mining portfolio,” he
He added, “By modernising equipment, improving mine planning and strengthening technical capability, we will deliver consistent output and growth that supports NDS2 objectives of export expansion, improved fiscal revenues and increased formal employment.”
He said increased production would strengthen Zimbabwe’s balance of payments while stimulating downstream economic activity in sectors such as logistics, engineering, procurement and small-to-medium enterprises.
Mr Denhere also outlined plans for aggressive exploration aimed at sustaining the country’s long-term gold pipeline.
“We are expanding geological programmes to unlock new resources, extend the life of our assets and de-risk future production.
“For 2026, a capital budget in excess of US$12 million has been allocated for exploration across Mutapa Gold Resources entities, aiming to achieve a life-of-mine of 10 years for each operation,” he said.
He said data-driven exploration and strategic partnerships would help convert Zimbabwe’s mineral resources into bankable reserves capable of attracting fresh capital and supporting long-term economic stability.
“As a nationally strategic asset, gold is central to export revenue growth, foreign currency generation, job creation and industrialisation, pillars that are essential for accelerating economic growth and improving livelihoods,” Mr Denhere said.
Mutapa Gold Resources chief executive officer Mr Patrick Shayawabaya said the mining group currently directly employs close to 2 700 workers, while another 1 300 jobs are supported through contractors and service providers.
He said the company’s mining operations had remained relatively stable over the past three years despite declining ore grades at some operations.
“Our production has been above 100 000 ounces for the past three years. However, lower grades had contributed to a decline in annual gold output from 3,6 tonnes in 2025 to 3,3 tonnes in the year to March 2026, but the company is expecting to recover strongly this year,” he said.
He attributed the company’s strong financial performance to rising international gold prices and operational efficiencies.
Revenue increased from US$138 million in the year to March 2024 to US$415 million in the year to March 2026, while profit before tax rose from US$42 million to US$157 million over the same period.
Tax contributions reached US$44 million in the year to March 2026, while profit after tax climbed from US$35 million to US$118 million.
Mr Shayawabaya said one of the company’s major projects was the Shamva Hill expansion, which is expected to cost US$152 million.
“We are very close to finalising the funding for this project, of which approximately half will come from local banks,” he said.
He noted that the project is expected to raise Shamva Mine’s production from 65 kilogrammes per month to 200 kilogrammes per month by 2028.
He added that construction work on the expansion is expected to begin in July, following completion of front-end engineering designs in June.
Mr Shayawabaya said Jena Mine, which is currently under care and maintenance, was also being revived through a phased investment strategy and an artisanal mining model that had already shown positive results.
“With an investment of about US$25 million, we expect Jena to be producing at least 100 kilogrammes a month in 2028,” he said.
He indicated that the company also holds about 52 000 hectares of mining tenements (rights) that are expected to become future mining assets following exploration and resource confirmation programmes.
Mr Shayawabaya said the company drilled about 61 000 metres across its operations in the year to March 2026 and planned to drill another 72 000 metres this year as part of efforts to extend mine life.
“Our target is that each of our mining companies should have a minimum of 10 years of life-of-mine,” he said.
Beyond mining operations, the company highlighted ongoing community development initiatives focused on health, education, water infrastructure and environmental management.
Among the projects Mr Shayawabaya cited was the Masembura water pipeline project, which was completed in six months, as well as the construction of a labour ward expected to cost about US$600 000 once fully equipped.-herald
