Zimbabwes largest gold producer Metallon Gold Zimbabwe says it incurred huge production loses due to power cuts during the just ended Soccer World Cup when ZESA opted to maintain supplies to domestic consumers while rationing electricity to companies. In an interview, Metallon chairman and group chief executive Collen Gura revealed the company’s largest mine operations at Shamva Mine were the most affected, with production tumbling by as much as 70 percent.
Shamva Mine produces an average of 3 200 ounces of gold per month.??
The government ordered the Zimbabwe Electricity Supply Authority (ZESA) to prioritise electricity supplies to domestic consumers during soccer the showcase hosted for the first time on African soil, in South Africa from June 11 to July 11.
To abide by the instruction, the state energy utility elected to implement load shedding for commercial consumers while maintaining constant supplies to houses and other domestic users. Although several domestic consumers continued to face power erratic power cuts during the tournament.
“We were switched off for not less than14 hours everyday and this literally took about 70 percent of our normal production, said Gura.
Halfway in July, Gura said production has since gone up, with the company having achieved a full production level and is optimistic that they will meet a targeted 7 500 ounces from all its mines this month. ?
Apart from Shamva, Metallon, which is listed on the London Stock Exchange, also owns, How Mine, Redwing Mine, Mazowe and Acturus mines, which have a combined capacity to produce 15000 ounces of gold monthly.??
South African mining tycoon Mzi Khumalo owns the company, which accounts for more than half of Zimbabwes gold output.
Post published in: Football