(Bloomberg)- Zimbabwe’s mines minister has informed Todal Mining Ltd., a venture controlled by Eurasian Resources Group, that its platinum mining concessions could be seized because no progress has been made in developing them.
The Bokai and Kinonde concessions may be taken over under the “use-it/lose-it principle” which allows the state to repossess idle mining claims, Minister Winston Chitando said in a letter to Todal dated May 28 and seen by Bloomberg. The mines ministry confirmed the veracity of the document.
“I note with concern that over the last few years there have been several changes to the work program to make this project progress to production stage,” Chitando said in the letter.
Zimbabwe, which has the world’s third-biggest platinum group metal reserves, has struggled to develop its mining potential with investors from Russia, Cyprus, Nigeria and Kazakhstan yet to bring projects into production.
The Todal assets were taken from Anglo American Platinum Ltd., which does operate a mine in Zimbabwe, more than a decade ago and handed to Central African Mining & Exploration Co.
For the rest of this article: https://www.bnnbloomberg.ca/zimbabwe-threatens-to-seize-platinum-concession-from-eurasian-resource-affiliate-1.1610707