State-owned Mutapa Gold Resources (MGR) has announced a US$212 million expansion programme designed to significantly increase gold production over the next three years as Zimbabwe seeks to strengthen the gold reserves underpinning its ZiG currency.
The investment will focus on expanding operations at Shamva, Freda Rebecca and Jena mines, with the company expecting the projects to substantially lift monthly output across its operations.
Speaking during a visit by Mines and Mining Development Minister Polite Kambamura to Freda Rebecca Mine, MGR chief executive Patrick Museva Shayawabaya said construction of the US$162 million Shamva Hill Project would begin next month.
He said the project would enable Shamva Mine to extract and process about two million tonnes of ore annually at the mine itself, eliminating the need to transport ore to Freda Rebecca for processing.
Once completed, Shamva’s monthly gold production is expected to rise from approximately 66 kilogrammes to 200 kilogrammes.
“That project will result in Shamva Mine mining two million tonnes of ore and also processing that ore at source. From that ore, Shamva will produce 200 kilogrammes of gold,” Shayawabaya said.
Processing ore at Shamva will also release additional capacity at Freda Rebecca’s 2.8-million-tonne processing plant, allowing the mine to increase its own monthly output from 204 kilogrammes to 270 kilogrammes.
“We know the plant can do it. It’s now a question of whether the mining guys can deliver the tonnage for the plant to produce 270 kilogrammes,” he said.
MGR is also preparing a US$50 million Phase One expansion at Jena Mine, where monthly production is projected to climb from 40 kilogrammes to 100 kilogrammes.
Shayayawabaya said the projects demonstrated the company’s commitment to expanding Zimbabwe’s gold sector.
“So the teams are busy, growing the business to make sure that Mutapa Gold Resources makes its fair contribution to the Zimbabwean economy,” he said.
The expansion follows a steady increase in production across the company’s operations.
According to Shayawabaya, MGR produced 2,354 kilogrammes of gold during the nine months to December, followed by 901 kilogrammes in the quarter ending March and 925 kilogrammes in the quarter to June.
The company produced 1,826 kilogrammes during the first half of 2026 and remains on track to achieve its annual production target.
“We are very much on course to achieving 3,600 kilogrammes for the year to December 2026,” he said.
For the year ending December 2026, MGR is forecasting production of around 3,400 kilogrammes of gold, generating approximately US$500 million in revenue and US$200 million in profit after tax, although Shayawabaya warned that fluctuations in international gold prices could affect performance.
The company posted a US$70 million profit after tax for the nine months to December and paid US$35 million in dividends to shareholders.
Mines Minister Kambamura welcomed the expansion programme, saying it supported the government’s strategy of increasing national gold production to reinforce the country’s gold-backed currency.
“The plans that the mine has to increase production, we are very excited as the government,” Kambamura said.
“I would like to urge other operations also to follow suit by increasing their production, considering that our currency is backed by gold.”
He added that financing for the projects had already been secured, expressing confidence the planned expansions would significantly increase Zimbabwe’s gold output in the coming years.
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