RIOZIM has not been able to capitalise on the gold price record run due to undercapitalised mining operations, resulting in depressed volumes and high production costs. This comes as gold prices last week plunged by around 10 percent to below US$4 000 per ounce, the steepest weekly fall in years. However, analysts, including JP Morgan,…
RioZim misses out on gold boom
RioZim said Renco requires about US$20 million in additional capital expenditure to modernise underground infrastructure, refurbish its processing plant and restore sustainable production. The company said its financial position makes the investment difficult to undertake internally.