Long-Term Mining Tenure
Zimbabwe Grants Karo Platinum 25-Year Mining Lease to Boost PGM Production
Key Points
Construction began in December 2022 and pilot mining started in June 2023 at Karo Platinum on the Great Dyke, marking early development milestones for the project.
The Special Mining Lease was granted under Zimbabwe's Mines and Minerals Act (Chapter 21:05), providing long-term tenure over the 23,903-hectare site and a formal fiscal and operational framework for a national-significance project.
Karo Platinum's ownership structure is 85% held by Karo Mining Holdings, with the Government of Zimbabwe via Generation Minerals owning 15% on an unencumbered free carry basis.
Reserves and resources are presented on a 4E basis, with an open-pit reserve of 2.1 million ounces and a mineral resource of 11.2 million ounces (4E basis) for the Karo Platinum project.
Tharisa's Zimbabwe subsidiary Karo Platinum has secured a 25-year special mining lease from the government, clearing the way to develop one of southern Africa's largest untapped platinum reserves Mining.com. The deal grants long-term tenure over 23,903 hectares on the Great Dyke and includes a 15% free-carried stake for the Zimbabwean government, de-risking project financing and cementing support from President Emmerson Mnangagwa, who attended the signing ceremony on August 24, 2026 Mining Weekly.
Phase 1 production targets 226,000 ounces of platinum-group metals annually and aims to create over 1,000 jobs. With a 2.1-million-ounce open-pit reserve and 11.2-million-ounce total resource, the project could sustain mining for more than 50 years Mining Weekly.
From Pilot Mining to a 50-Year Asset
Construction at Karo Platinum began in December 2022, with pilot mining operations starting in June 2023 Mining.com. The project has already attracted over US$240 million in capital for plant, mining fleet, infrastructure, and community programs. This phased approach has de-risked early operations while positioning the mine for rapid scale-up once the lease framework was finalized Mining Weekly.
How the Ownership and Tax Framework Works
Karo Mining Holdings retains 85% ownership of the project, while the Government of Zimbabwe holds 15% through Generation Minerals on a free-carry basis—meaning it receives dividends without funding development costs Mining Weekly. The Special Mining Lease was granted under Zimbabwe's Mines and Minerals Act (Chapter 21:05), providing a clear fiscal and operational framework for the nation-significant project Morningstar.
Tharisa's Long-Term Growth Strategy Stabilized
The 25-year lease aligns with Tharisa's 2030 growth roadmap and removes a major regulatory uncertainty that had delayed financing Mining.com. With government backing and a defined fiscal environment, project financiers now have clarity on operating conditions, tax obligations, and political risk. Karo Platinum can now focus on construction acceleration and moving toward commercial production Mining Weekly.
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