Looting Of Lithium At Bikita Minerals Has Reached Another Level - Maguwu

Farai Maguwu, the founding Director of the Centre for Natural Resource Governance, stated that the looting of lithium at Bikita Minerals has reached a new level, with 754 tonnes of concentrate being processed daily.

In a Twitter post seen by Pindula News, Maguwu whose organization is working on improved governance of natural resources in Zimbabwe said 42 trucks loaded with lithium concentrate departing daily with the loot. He said:

Bikita Lithium Looting Update 02/05/23 Fellow Zimbabweans, the looting of our minerals at Bikita Minerals has reached another level. They are processing 754 tonnes of concentrate per day. 42 trucks loaded with lithium concentrate departing daily with the loot.

Last year, Godfrey Tsenengamu , former ZANU PF Youth League Political Commissar, claimed that lithium was being siphoned from Bikita Minerals to China. Chinese company SinoMine bought Bikita Minerals and is investing over $200 million in expanding operations and building a new processing plant. Tsenengamu, now leading the Front for Economic Emancipation in Zimbabwe, called on President Mnangagwa to address reports of looting and plunder at Bikita Minerals. He said in a Facebook post seen by Pindula News:

Loads and loads of lithium at Bikita Minerals ready for shipping to China. The Chinese are extracting lithium 24 hours a day. Ndiko kuvaka nyika kwamunotaura here uku President Emmerson Dambudzo Mnangagwa kana ndiko kutengesa nyika?? Tichasara nei senyika?? [Is this what you mean by “building the nation,” President Emmerson Dambudzo Mnangagwa, or is it selling the nation? What will be left of the country?] My heart is bleeding.

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Last year, Justice Chinhema, the General Secretary for the Zimbabwe Diamond and Allied Minerals Workers Union, confirmed the claims of resource plunder. He said workers at Sino Mine claim to produce around 15 000 tonnes of lithium per month which means recent claims by Maguwu signify a huge development. Chinhema told Pindula News last year:

We are worried, the benefit for the country is yet to be known. Job Creation when the working conditions are worse than those that prevailed before take over might mean nothing. We need to educate our communities where mining is taking place that they need to push the government to fully implement the local share ownership so that local communities benefit.

Chinhema stated that a policy should require investors to develop the areas where they mine by building schools, hospitals, roads, bridges, and other social amenities. He added that the law should mandate investors to ensure that communities receive shares from the companies, or it becomes looting.

Background:

In June 2022, President Mnangagwa commissioned the US$300m spodumene lithium project which has one of the world’s largest lithium deposits. Bikita Minerals, Zimbabwe‘s oldest miner of lithium-bearing minerals, has been operating in Masvingo Province for over 70 years but has only been producing petalite, mainly for the glass and ceramics industry.

Why is this important:

The demand for lithium has increased due to the production of electric vehicles. Zimbabwe, which has a large deposit of the mineral, could potentially benefit from this, but there are concerns that the country may not be fully utilizing its resources. Zimbabwe has a history of using its mineral resources as collateral for loans, which critics argue is not sustainable. Therefore, there are calls for African countries to process their natural resources and export semi-finished or finished commodities to maximize their benefits.

In 2022, Zimbabwe banned the export of raw lithium to promote value addition and beneficiation of the mineral. The Minister of Mines and Mining Development, Winston Chitando, issued the Base Minerals Export Control (Unbeneficiated Lithium Bearing Ores) Order, 2022, which prohibits the export of raw lithium. special

The Zimbabwean government exempted certain miners from the ban on raw lithium exports. The Zimbabwe Defence Industries was granted a special permit to continue exporting raw lithium.

These reports of looting come as Zimbabwe is still dealing with the fallout from the release of the Al Jazeera documentary “Gold Mafia.” The documentary alleges gold smuggling and money laundering within and around Zimbabwe, implicating some senior government officials. Zimbabwe is allegedly losing billions of dollars through gold smuggling each year.

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