Zimbabwe Mining Exports Set for Big Boost as Prices Rise

With gold and lithium prices at record levels and battery minerals recovering from a prolonged downturn, producers are betting that favourable market conditions could accelerate investment and production growth. But industry leaders say Zimbabwe will need to address structural constraints, expand exploration and create a more competitive investment environment if it is to convert the current commodity upswing into sustained mining expansion.

Zimbabwe’s mining sector is expected to deliver stronger export earnings this year as rising mineral prices and increased output of key commodities including gold and lithium offset persistent challenges from high operating costs and limited access to long-term financing.

The sector, which accounts for more than 75% of Zimbabwe’s export earnings and an estimated 12% to 16% of gross domestic product, recorded mixed production results in the first quarter of 2026, with gold output rising 10% and lithium production increasing 54%, the Chamber of Mines of Zimbabwe said.

“ The 2026 sectoral performance in terms of production was relatively mixed, with minerals such as gold and lithium recording steady growth. Gold was up by 10 percent while lithium increased by 54 percent,” Chamber of Mines chief executive Isaac Kwesu told journalists ahead of the organisation’s annual mining conference in Victoria Falls.

“Other minerals are still recovering, but this is normal. The first quarter is usually slower and we expect stronger performance from the third quarter onwards as producers recover lost ground.”

Zimbabwe’s mineral export revenue reached $8.01 billion in 2025, comprising $3.401 billion from base minerals and metals marketed by the state-owned Minerals Marketing Corporation of Zimbabwe and $4.61 billion from gold exports handled by the Reserve Bank of Zimbabwe’s Fidelity Gold Refinery.

Gold deliveries to the refinery rebounded sharply in May 2026, rising 18.84% to 3,951.01 kilogrammes from 3,324.59 kg in April, according to official data.

Kwesu said stronger global commodity prices had helped compensate for production declines in some areas, boosting export receipts.

“On the price side, we have seen most minerals recording increases in export earnings. Where there were production shortfalls, these were more than compensated for by higher prices. As a result, the first quarter recorded higher export earnings than the corresponding period in previous years,” he said.

Global gold prices have reached record highs in recent months as investors sought safe-haven assets, while lithium and platinum group metals have shown signs of recovery after a prolonged downturn.

Kwesu said continued strength in commodity markets could push the sector’s foreign currency earnings and output above earlier expectations.

“If the price situation remains as it was during the last quarter of last year, where we saw lithium and platinum group metals beginning to recover significantly, we anticipate that by year-end the mining sector will record very strong foreign currency earnings and solid production numbers,” he said.

Despite the positive outlook, Zimbabwe’s mining industry continues to face structural constraints, including high energy costs, expensive borrowing and limited availability of long-term capital.

“The mining sector, just like other sectors of the economy, is affected by systemic domestic cost drivers. Energy costs remain high when compared to competing mining jurisdictions, while the cost of capital is also a significant challenge. Our domestic financial markets are still characterised by capital shortages and most of the available funding is short-term and expensive,” Kwesu said.

Mining companies require substantial long-term investment for exploration, mine development and equipment purchases, making access to affordable financing a key concern for future expansion.

Kwesu said rising labour and production costs were also affecting companies.

“The general inflation in labour costs and other production-related expenses remains an issue for the sector, just as it does for other industries in the economy,” he said.

The Chamber of Mines said increasing exploration activity would be critical to sustaining Zimbabwe’s mining growth, with the organisation engaging the government on policies affecting investment.

“We are engaging the Government to ensure that issues affecting exploration are addressed. One of the key issues relates to Exclusive Prospecting Orders (EPOs), where limited activity has taken place over the years,” Kwesu said.

“If the environment is opened up and exploration opportunities are expanded, we will see increased investment in the sector.”

He also called for greater support for junior mining companies, which play a key role in identifying new mineral deposits and attracting exploration capital.

“We are encouraged by the Government’s efforts to improve the investment climate and align Zimbabwe with international best practice in attracting exploration capital.

“Ultimately, capital follows attractive investment destinations. It is our hope that Zimbabwe will continue to improve its competitiveness and catch up with its regional peers when it comes to exploration investment,” said Kwesu.

The Chamber of Mines of Zimbabwe will host its 2026 Annual Mining Conference from June 17 to June 20 under the theme, “Unlock Value, Maximise Benefit, Sustain Growth.”

The conference will bring together mining executives, policymakers, investors and development partners to discuss investment, competitiveness and sustainable growth across Zimbabwe’s mining sector.

Minerals Minister Polite Kambamura is expected to attend as guest of honour.

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