Zimbabwe’s mining sector is poised for a fresh investment boost after Mimosa Platinum Mine announced plans to revive its $130 million North Hill life-extension project, a move driven by the recovery in platinum group metals (PGM) prices and improving market fundamentals.

Speaking at a mining conference in Victoria Falls, Mimosa General Manager Stephen Ndiyamba said the company is reassessing a major capital investment that could extend the mine’s lifespan by approximately 15 years.

“Currently, we are working internally on consideration of a life-of-mine extension project which will require a capital investment of about $130 million,” Ndiyamba said. The project is expected to replace declining operations at the South Hill ore body, where mining costs have risen as reserves become increasingly difficult to access.

PGM recovery drives investment confidence

The decision marks a significant turnaround from 2024, when Mimosa suspended the North Hill project amid a sharp decline in platinum group metal prices. The downturn was fueled by weak automotive demand, inventory destocking and expectations that electric vehicle adoption would rapidly reduce demand for catalytic converter metals.

Since then, market conditions have improved considerably. Platinum, palladium and rhodium prices have gained support from tighter supply, particularly from South Africa, the world’s leading producer, while the transition to electric vehicles has progressed more slowly than many analysts predicted.

The recovery has restored confidence across Africa’s platinum mining sector, encouraging producers to revisit previously shelved expansion plans.

One of Zimbabwe’s key Platinum producers

Located on Zimbabwe’s mineral-rich Great Dyke, approximately 32 kilometers west of Zvishavane, Mimosa is the country’s second-largest platinum producer after Zimplats.

The operation is jointly owned by Impala Platinum and Sibanye-Stillwater through a 50:50 partnership and produces roughly 250,000 ounces of PGM concentrate annually.

Mimosa’s mining complex consists of four deposits—North Hill, South Hill, Mtshingwe Block and Far South Hill. Current production is concentrated at South Hill, where mechanized board-and-pillar mining methods support annual ore production of approximately 2.9 million tonnes.

Strategic expansion for Zimbabwe mining

The proposed North Hill investment highlights growing optimism in Zimbabwe’s mining industry, a sector that remains central to the country’s export earnings and foreign currency generation.

The project would not only secure long-term production but also reinforce Zimbabwe’s position as one of Africa’s most important platinum-producing nations at a time when global demand for critical minerals remains resilient.