Breakdowns affect RioZim gold production
DIVERSIFIED mining group RioZim experienced minimal growth in gold production due to ongoing plant equipment breakdowns.
The company only realised 940kgs in the year ended December 2023 compared to 924kgs the prior year.
Group chairman, Mr Saleem Rashid Beebeejaun, stated in the accompanying financial statement that Renco Mine had a 10 percent increase in gold production to 441kgs compared to 402kgs in the previous year.
This was attributed to the company’s low-grade-high volume approach combined with gold price stability averaging $1,913/oz, an eight percent increase from the prior year.
Persistent Cam & Motor Mine plant breakdowns resulted in reduced throughput, contributing to the subdued production volumes.
Dalny Mine remained under full care and maintenance, while gold production at Cam & Motor Mine decreased by 5 percent YoY to 499kgs.
On the base metal business, the refinery remained under care and maintenance. The focus is to resuscitate the oxygen generation section to generate additional income in the future.
“While the mine is undergoing rehabilitation of its second mill to increase milling capacity, it is also focused on its pit development.
“Delayed pit development has affected the desired blending matrix of run of mine processed into the plant, which had a significant negative impact on gold recoveries,” said Mr Beebeejaun.
RioZim Murowa’s diamond production also declined by three percent to 414,000 carats compared to 426,000 carats in 2022. Additionally, the legal dispute with RioZim’s chrome claims in Darwendale persisted in the courts, and Mr Beebeejaun said the company is committed to pursuing an amicable resolution of the matter with all the stakeholders concerned.
Power supply remains a significant threat to production at Renco Mine, although the company’s energy projects, mainly the 178MW solar projects, are at the funding stage, and the company is engaging potential funding partners to reach financial closure.
“Our stakeholders will be kept informed of any notable developments,” said Mr Beebeejaun. — chronicle
