Economist Eddie Cross, an advisor to President Mnangagwa, recently shed light on the past and present of Zimbabwe’s biggest mining company, Kuvimba Mining House (KMH) .
Businessman Kudakwashe Tagwirei reportedly played a key role in KMH’s initial success. He leveraged his experience in the fuel industry, where he profited from sales and secured a stake in the Zimbabwe-Mozambique fuel pipeline.
These ventures provided the capital for Tagwirei to diversify his investments, including a strategic injection of funds into Kuvimba’s burgeoning portfolio of seven mines. “Kuda was Kuvimba,” Cross is quoted as saying, highlighting Tagwirei’s instrumental role in the company’s growth.
However, KMH’s trajectory has shifted. The company was recently taken over by the National Wealth Fund, also known as the Mutapa Fund. While Tagwirei’s investment fueled the rise of prominent mines like Shamva, located northeast of Harare, KMH now faces challenges due to a global slump in commodity prices.
Plummeting prices for lithium, nickel, palladium, and platinum have forced KMH to make difficult decisions, including worker retrenchments at promising ventures like the Sandawana Lithium Mine. Experts attribute the price drops to a simple market reality: supply has outstripped demand
Kuvimba Mining House navigates a complex landscape. Its past is marked by significant growth, and its future hinges on navigating a volatile commodities market.
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