Zimplats says it has made “significant” progress in resolving delayed payments from government, after reaching a deal to use part of the money owed to settle taxes and other obligations.
Under Zimbabwe’s export surrender policy, miners receive 70% of their export earnings in U.S. dollars and 30% in ZiG. Delays in settling the ZiG portion left Zimplats owed the equivalent of US$78.1 million at the end of December.
Implats CFO Meroonisha Kerber said the situation had “actually improved significantly” since the group reported its interim results.
“In about March, we reached a tripartite agreement with the various government institutions in Zim,” she said.
The agreement allows Zimplats to receive 50% of its surrender proceeds in cash, with the other 50% used to settle government obligations through offsets. “Since that agreement has been put in place, they have honoured the terms of that,” Kerber said.
Zimplats has since used about $99 million to offset taxes, royalties and customs duties, while gaining access to about $150 million in local currency. “That really has made a significant difference because our local creditors are now all up to date,” she said.
The delays had tied up working capital and increased Zimplats’ receivables. Delayed ZiG payments have also been a broader concern for Zimbabwe’s platinum producers, with outstanding surrender balances across the sector reported at more than $228 million by mid-2026.
Zimplats’ improved cash position comes as its operations also strengthened.
Higher fleet availability and increased open-cast ore lifted mined and milled throughput in the year to August, with the company producing 660,000 ounces of concentrate.
Construction of Zimplats’ 45 MW solar project is on track for completion in early 2027. The project is the second phase of an intended 185 MW solar complex, with 35 MW already commissioned. – (NewZWire)
