Zimbabwe's controversial rules for foreign mining companies have been revised and will be published later this week, with a focus on setting varying shareholder thresholds.

Earlier this year, non-Zimbabwean miners were informed that they would have until 30th June to transfer 51 per cent of their firms to local blacks as part of an empowerment drive.

The verdict became the source of a dispute between the two major players in the power-sharing government, President Robert Mugabe and Prime Minister Morgan Tsvangirai.

However, Mr Mugabe said last month that the law would be revised and Indigenisation and Economic Empowerment Minister Saviour Kasukuewere confirmed those plans.

"We've agreed on the process of setting up committees to look at sectoral (shareholding) thresholds, time-frames or any other issues that relate thereto," he told Reuters.

"It's not a one-size-fits-all policy. We will be able to accommodate companies. The other area of concern was the term 'cede', which has been amended to 'disposal', which means disposal for value."

The Chamber of Mines has suggested that a minimum 15 per cent shareholding should be afforded to locals, but Mr Kasukuwere warned the mining industry that it "must be ready to do much more".

More than 600 firms in the country have now submitted their empowerment plans to the government ahead of the 30th June, which remains in place following "extensive consultations".

Meanwhile, Impala Platinum has confirmed that it will press ahead with the $500 million second-phase expansion at its Ngezi project, giving Zimbabwe's platinum sector a major boost.

The world's second-largest producer of the precious metal took the decision "based on existing agreements with the government of Zimbabwe and despite the fact that discussions are still ongoing on certain key issues".

"We are working on the basis that we have agreements in place with the Zimbabwe government that will be honoured, and the outstanding issues can be resolved in terms of those agreements," Chief Executive David Brown told Miningmx.

"Clearly, if the Zimbabwe government reneged on those agreements we would react accordingly but, in the absence of anything contrary, we are going ahead."

Impala reportedly believes that a long-term commitment in Zimbabwe could offer about one million ounces of platinum every year, which is similar to the production capacity of its Rustenburg facility in South Africa.

With Anglo American also confirming this week that its Unki mine will commence operations in October, the country's platinum industry looks set to generate much interest in the coming years.

Sources:

Zimbabwe revises rules on foreign firm takeovers (22/06/10)

Zimbabwe platinum poised for lift-off (22/06/10)

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