- Website: www.metcorp.co.uk
- Sector: Industry
- Country of operations: Zimbabwe
Worth its weight in gold
Striking gold might have taken Metallon Corporation a great deal of time and effort, but the company’s perseverance has paid off handsomely.
Today Metallon is the leading gold mining company in Zimbabwe, with four mines that it owns and operates, and reserves of over 8.3 million ounces of gold on its books. The firm’s flagship operation is the How mine, close to Bulawayo in the south of the country, which accounts for more than 55% of the firm’s production. Then there’s the Shamva mine, which produces a further 25%, with the rest coming from the Mazowe and Redwing mines. Together these four sites produced 94,212 ounces of gold in 2016 and the company expects output to reach 115,000 ounces in 2017.
Metallon has owned these mines since October 2002, when it bought a portfolio of mineral assets from Independence Mining, a subsidiary of Lonmin.
“Some of the mines are over 100 years old and they required large capitalisation, alongside repairs and renovations,” says Metallon CEO Ken MekaniWorth. “Over the last few years we have been focused on delivering operationally and reducing costs.”
Over a decade on, the company is reaping the rewards of those efforts, and is planning to ramp up output significantly in the years ahead, setting itself a production target of 500,000 ounces a year within the next five years.
“Some of the mines required large capitalisation”
“We have reinvested our cash flows back into the business to ensure greater efficiencies, higher volumes, lower costs and improved safety, health, environment and quality,” says Ken. “We hope that all these improvements will be demonstrated over the years to come, when production increases and costs reduce.”
8.3m - The ounces of gold reserves that Metallon has on its books