Gold deliveries to Fidelity Printers Refiners increase 36 percent to 4,6t in Q1


Gold deliveries to Fidelity Printers Refiners increase 36 percent to 4,6t in Q1

GOLD deliveries to Fidelity Printers and Refiners in the first quarter increased 36 percent  to 4,6 tonnes from 3,39 tonnes mainly buoyed by the performance of the small scale sector.

Latest data availed by the Reserve Bank of Zimbabwe shows that small scale miners delivered 1,92 tonnes an increase of 49 percent  to 1.29 tonnes in response to the policies introduced by the central bank.

In order to increase gold deliveries to FPR from small scale and artisanal miners that have for a long time been disenfranchised due to the criminalization of many of their activities as a result of stringent laws, the central bank is now buying gold from artisanal miners on a ‘no questions asked basis’ through mobile buying centres to be deployed across the country.

Further to that FPR is issuing permits to buyers to cover mining areas that have high activity of artisanal miners; and shall in the process, gradually develop a database and account for production by artisanal miners

RBZ governor Dr John Mangudya said around $6 million cash is being deployed to the small scale miners every week. He said the deliveries from the subsector had been increasing from 303kg in January, 417kg in February to 570kg in March.

In 2014, the subsector brought in 550 kg in 2014 rising to 1.29 kg last year.

Mangudya said for now small scale producers will not surpass large scale miners for now but the target is for the contribution to be at least half from the current 42% as the productions costs are minimal.  The country is targeting gold output 24 tonnes this year.

The RBZ will also tighten the monitoring of gold sector players including custom millers in view of continued reports of illegal activities, poor record-keeping and under-reporting to Fidelity Printers and Refiners as well as overpricing of their services to miners.
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