HARARE – The Zimbabwe Mining Development Corporation (ZMDC) is seeking urgent government intervention to safeguard its remaining assets amid a deepening debt crisis stemming from a long-running dispute with Amaplat Mauritius, a unit of Amaplat, according to the Mining Technology.
The $93 million (Z$2.88 billion) liability follows a 2014 arbitration ruling by the International Chamber of Commerce (ICC), which found in favour of Amaplat over cancelled nickel and platinum ventures in Zimbabwe. Enforcement of the award was later granted by Zambia’s High Court in 2019.
In a letter addressed to Mines and Mining Development Minister Winston Chitando—confirmed as authentic by ZMDC board chair Paul Chimboza—the state-owned entity pleads for the government to assume the debt, citing the dire financial position of the corporation.
The appeal comes as ZMDC reels from asset depletion, following the transfer of most of its mining holdings to a new state entity, Defold Mine. With few resources left, the corporation says it is unable to meet its debt obligations or manage mounting legal expenses, which have already exceeded $500,000.
The financial deal struck in 2021 as part of a partial settlement involved Bravura Holdings—owned by Nigerian tycoon Benedict Peters—agreeing to pay $15 million of the debt. However, Chimboza says Bravura has only honoured $3 million of that commitment, with no progress made on other terms, including the transfer of agreed mining assets. Bravura has yet to publicly respond.
Amaplat, in a written response to media inquiries, made it clear that it considers the Government of Zimbabwe ultimately responsible for the debt.
“As the ICC award is against a Zimbabwe government parastatal and the commissioner of a government ministry, the public debt remains the responsibility of the government of Zimbabwe for the full amount,” the company stated.
The situation could escalate further, with Amaplat planning to register the arbitration award in Canada, following a similar move in the United States. A hearing related to the Canadian registration is scheduled for 30 June.
The ZMDC case adds to the growing financial woes of Zimbabwe’s state-owned enterprises, which collectively owe more than $21 billion. The country remains excluded from key international lending platforms, including the World Bank and the European Investment Bank, due to long-standing arrears and defaults.
In response to widespread mismanagement in the mining sector, Zimbabwe last year announced new regulations requiring a 26% free-carry stake for the state in all new mining ventures. However, analysts say historic liabilities such as the Amaplat case continue to cast a long shadow over efforts to reform the sector and attract investment.
With international creditors circling and domestic mining companies under pressure, the government now faces a difficult decision: intervene to protect strategic assets, or risk further international litigation and reputational damage.
