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LSE-listed miner pursues lithium deals in China, SA – NewsDay

Chinese multinationals have also trooped into the country to establish lithium mining units to feed into EV battery production lines.

THE London Stock Exchange-listed resources company, Red Rock Resources says it is negotiating with China-based buyers for a deal to export lithium from its Zimbabwean claims, as it scouts for a contract mining agreement.

China has emerged as the biggest market for Zimbabwean lithium, which is in high demand from the Asian giant’s electric vehicle (EV) battery makers.

Chinese multinationals have also trooped into the country to establish lithium mining units to feed into EV battery production lines.

In April, Prospect Lithium’s Goromonzi-based Arcadia mine kicked off exports from its US$275 million operation with a shipment to China.

Red Rock executes its Zimbabwean ambition through African Lithium Resources Limited (ALR), which presides over 51 hectares of lithium claims at Tin Hill, about 29 kilometres northwest of Bikita.

The firm holds 75% in ALR, which was established last year.

In a market update, Red Rock said parties to the lithium deal had agreed to draft Dirk Benade, a South African geologist, to evaluate the resource at ALR’s Zimbabwean assets.

Andrew Bell, chairperson at Red Rock, said the firm’s lithium export strategy would be vital for the business, which initially wanted to concentrate on sales to the domestic market.

The firm is also discussing a contract mining deal, according to Bell.

“Discussion has begun with sales agents in China for sale of lithium ores, and a potential contract miner/partner has sent an experienced South African consultant geologist, who from 10th to 14th August with ALR personnel conducted due diligence at ALR’s locations in Zimbabwe, said Bell.

“Regulatory changes over recent months mean that we are focussed on sales to the export market, which realise higher prices but require some combination of selective mining and beneficiation,” Bell said, as he shared developments at the firm with investors.

“Dirk comes to us highly recommended and his depth of experience and knowledge and international business background makes him a good complement to our enthusiastic local team,” Bell added.

ALR has been expanding its lithium portfolio in Zimbabwe.

In June, the firm said it was focusing on the advancement of the assets into small-scale production for the local market before kicking off exports.

It said a 125-hectare application for claims near Arcturus, 32 km east of Harare, had also been approved.

The company also applied for 107 hectares for another asset near Bikita.

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Hippo Valley seeks solar energy supply from partners – NewsDay

The company revealed its plans to migrate to more eco-friendly processes in its operations in its annual report for the period ended March 31, 2023. This is part of plans to reduce its own pressure on the national grid in a country facing a deficit of over 1 000 megawatts of electricity.

HIPPO Valley Estate Limited has encouraged its partners to install solar plants to supply the sugar miller and help reduce pressure on the national grid.

The company revealed its plans to migrate to more eco-friendly processes in its operations in its annual report for the period ended March 31, 2023. This is part of plans to reduce its own pressure on the national grid in a country facing a deficit of over 1 000 megawatts of electricity.

In an interview with NewsDay Business at Hippo’s annual general meeting last Friday, the firm’s chief executive officer Aiden Mhere said the company was not going to directly procure the solar system, but rather encourage partners to lead the project.

“Well, the solar plants are not necessary for ourselves to actually spend money on them,” he said. “We are asking for other people to put up those solar plants, but we are looking at about five to 20MW of electricity for the solar system.

“So, to alleviate the electricity challenges we are looking at either, directly ourselves or indirectly, inviting other partners to produce solar. We have had prototype solar systems to power our pumps and now we are inviting those companies that are capable of providing solar energy to come and put-up solar plants and then we can buy the energy from them during the deficit periods.”

He also indicated that the firm was, however, an independent power producer which produces more than enough power through thermal station, which uses sugar cane bagasse to produce thermal energy for the sugar milling processes.

“So, when we are running the sugar mills, we actually have thermal power stations both at Hippo Valley and Triangle that produce electricity. As long as we are running, we produce electricity,” Mhere said.

“We irrigate using very good pumps in some of our operations that depend on electricity so when we have electricity challenges it becomes a problem.

“When we are running normally, we actually produce more energy than what we need. For example, at Hippo Valley we produce approximately five to 10 megawatts of electricity which we put on the national grid,” Mhere added.

National power generation challenges stem from low water levels at the country’s top electricity producing plant, the Kariba South Hydro Power Station and an overload at the Hwange Thermal Power Station.

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Hippo Valley seeks solar energy supply from partners – NewsDay

The company revealed its plans to migrate to more eco-friendly processes in its operations in its annual report for the period ended March 31, 2023. This is part of plans to reduce its own pressure on the national grid in a country facing a deficit of over 1 000 megawatts of electricity.

HIPPO Valley Estate Limited has encouraged its partners to install solar plants to supply the sugar miller and help reduce pressure on the national grid.

The company revealed its plans to migrate to more eco-friendly processes in its operations in its annual report for the period ended March 31, 2023. This is part of plans to reduce its own pressure on the national grid in a country facing a deficit of over 1 000 megawatts of electricity.

In an interview with NewsDay Business at Hippo’s annual general meeting last Friday, the firm’s chief executive officer Aiden Mhere said the company was not going to directly procure the solar system, but rather encourage partners to lead the project.

“Well, the solar plants are not necessary for ourselves to actually spend money on them,” he said. “We are asking for other people to put up those solar plants, but we are looking at about five to 20MW of electricity for the solar system.

“So, to alleviate the electricity challenges we are looking at either, directly ourselves or indirectly, inviting other partners to produce solar. We have had prototype solar systems to power our pumps and now we are inviting those companies that are capable of providing solar energy to come and put-up solar plants and then we can buy the energy from them during the deficit periods.”

He also indicated that the firm was, however, an independent power producer which produces more than enough power through thermal station, which uses sugar cane bagasse to produce thermal energy for the sugar milling processes.

“So, when we are running the sugar mills, we actually have thermal power stations both at Hippo Valley and Triangle that produce electricity. As long as we are running, we produce electricity,” Mhere said.

“We irrigate using very good pumps in some of our operations that depend on electricity so when we have electricity challenges it becomes a problem.

“When we are running normally, we actually produce more energy than what we need. For example, at Hippo Valley we produce approximately five to 10 megawatts of electricity which we put on the national grid,” Mhere added.

National power generation challenges stem from low water levels at the country’s top electricity producing plant, the Kariba South Hydro Power Station and an overload at the Hwange Thermal Power Station.

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Our meat is rotting, Cde Mnangagwa – NewsDay

Amid the pomp and fanfare, Mnangagwa proudly and confidently declared that Zimbabwe’s perennial power crisis had finally come to an end. This was after the country had endured up to 20 hours of daily power outages in some areas.

ON August 3, 2023, President Emmerson Dambudzo Mnangagwa commissioned the new Hwange Thermal Power Station Units 7 and 8.

Amid the pomp and fanfare, Mnangagwa proudly and confidently declared that Zimbabwe’s perennial power crisis had finally come to an end. This was after the country had endured up to 20 hours of daily power outages in some areas.

An excited Mnangagwa bragged that load shedding was now a thing of the past and went as far as to sarcastically challenge those whose meat was rotting in their fridges because of power cuts to come forward.

Well, almost immediately after August 23 an 24 harmonised elections, the dreaded power cuts returned with a vengeance.

It became clear that the brief lull the country went through without experiencing any load shedding in the run-up to the crucial election was nothing but a ruse. The nation is largely in darkness.

Zimbabweans were, in fact, foolhardy made to believe for a minute that the ruling Zanu PF party was sincere and had abandoned its trickery and chicanery.

It is quite possible that the government merely imported plenty of electricity from our neighbours, knowing fully well that the country was not producing sufficient energy for its domestic needs.

This whole “no more load shedding” ruse was just to get votes from an unquestioning and gullible citizenry who believe everything this government says.

Of course, some of us had always raised valid concerns over the numerous claims by the Mnangagwa administration. I remember penning a piece on March 22, 2023 titled: Is Hwange Unit 7 another big scam and con job?

As much as there are those who may view my thoughts and observations as too cynical and always negative, but decades of relentless deception authored by the Zimbabwe regime has shaped my mindset.

It should be known that people who are always sceptical and suspicious about a particular individual have good reason for doing so. If one is at the receiving end of countless lies and broken promises at the hands of someone, they end up taking whatever they are told by the perennial liar with a pinch of salt.

The persistent propensity to lie and deceive by the Mnangagwa administration troubles me.

Why do they have to mislead the nation — solely for the sake of political expediency?

As much as some may perceive this as a small insignificant thing — to be expected during the election season — however, there are always severe consequences.

For instance, having assured the corporate world that Zimbabwe’s energy crisis had finally been resolved — what is the sudden resurgence of power cuts going to do to investor confidence? Will investors, both local and foreign, be prepared to sow their hard-earned monies in a country where what the leadership pronounces is not to be trusted?

It was so heart-breaking listening to the Zimbabwe National Chamber of Commerce chief executive officer Christopher Mugaga stating last week that business is losing between US$70 and US$80 million each month due to these persistent power cuts.

In so doing, this may lead to increased prices of goods and services because these losses are simply passed on to the consumer, further worsening the already dire situation of the ordinary citizenry.

Need I remind anyone that under Mnangagwa first five-year reign, half the population have been thrown into extreme poverty, while two-thirds of the workforce earned and still earn below the poverty datum line.

All this is largely because we have a government which cannot tell the truth!

If those in power had been honest all along — that the country’s power crisis had not been averted and was far from over — this would have enabled the business community to be better prepared.

Who knows, maybe due to the false assurances that the days of load shedding were past us, some corporates decided to shelve any plans for alternative power sources — opting to invest the capital elsewhere, only to be met with a rude awakening a few days after the elections.

Government needs to show some seriousness on such critical matters as power supply.

My late father, in his profound wisdom, taught me that lies had short lifespans and the repercussions were never good for anyone. There was really no need to lie to the nation that our power challenges had been resolved.

All the Zanu PF regime had to do was tell the nation that Hwange Units 7 and 8 were complete (if that is the real truth) — and should have also emphasised that power cuts will continue reoccurring because the Units will not be able to meet the ever-increasing demand for electricity by the growing population.

This would have given both commercial and domestic consumers a clear picture so as to enable proper planning. However, by lying that there is no longer an electricity shortage in Zimbabwe, this had the potential effect of dissuading and discouraging prospective investors in the energy.

Indeed, lies have a very short lifespan and have a tendency of backfiring in a big way. All we can now do is brace ourselves for increased prices of goods and services — just because we have liars in power.

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