Its deposit, which has total resources of around 1,300 tonnes of platinum group metals (PGMs), is part of the Great Dyke in Zimbabwe and is the world’s biggest PGM asset, the companies said in a statement.
GDI’s chief executive Igor Higer expects the project will double the production of PGMs in Zimbabwe. He is one of several investors who have spent more than 100 million dollars, which entitles them to special terms.
The mine life after project ramp-up to full capacity is estimated at 35 years.
“According to our estimates the investment in the first phase, the project construction is $400 million,” said Hepsina Rukato, chairman of the GDI board of directors.
The companies said that the initial infrastructure of roads, storage and residential facilities has been built.
The project is expected to create around 8,000 highly skilled jobs at full capacity.
Price water house Coopers and SFA Oxford provide analytical support to the project. Cresco Project Finance and EY have been engaged as financial advisers.