Local Miners Still Wary Of Zimbabwe's Waters

The new president’s policy towards foreign investment still remains largely unclear.

- David McKay

Mark Cutifani, the CEO of Anglo American, described Chris Griffith, his counterpart at the 80%-owned listed subsidiary Anglo American Platinum (Amplats), as “keen as mustard” to explore fresh prospects in Zimbabwe, which has recently thrown its doors open to investment.

But perhaps the mustard is only mild.

Cutifani and Impala Platinum CEO Nico Muller are cautious about how a change of president in Zimbabwe might actually alter policy towards foreign investment. The initial euphoria after the toppling of former Zimbabwe dictator Robert Mugabe has been replaced by watchfulness in the markets, especially by the mining companies, who have seen it all before.

“With Zimbabwe, it’s still a bit too early,” said Cutifani at the group’s full year results presentation in February. “We have only one asset there – Unki – but it is a very good asset. But what the world of platinum group metals [PGMs] doesn’t need right now is more production. So we will watch that one carefully,” he said.