By Albert Mpofu
Zimbabwe’s Mining Sector In a disheartening turn of events, the Redwing Gold Mine in Zimbabwe, once hailed as a promising venture for the local economy, has succumbed to a series of problems caused by mismanagement and exploitation. The mine, owned by the British-registered Metallon Corporation, was once a significant contributor to the country’s economic stability, but recent years have seen its operations deteriorate, leading to a host of concerning issues.
Civil society groups have reported a staggering number of deaths at the mine, with over 100 fatalities since 2020. Shockingly, 26 lives were lost in January 2023 alone. These tragic incidents, along with environmental damage, crumbling infrastructure, labor rights violations, and criminal activities, have raised serious concerns about the mine’s management. There are allegations of political favoritism, tax evasion, smuggling of minerals, and human rights abuses linked to the mine. Workers at the Redwing Mine have faced hardships, including unpaid union fees owed to the Associated Mine Workers’ Union of Zimbabwe and significant wage arrears.
Despite deducting fees for the Mining Industry Pension Fund and the National Social Security Authority from employees’ salaries, the company failed to remit the payments. Disturbingly, reports have surfaced suggesting that company directors have personally benefited from the mine’s operations while workers have gone unpaid. Efforts to address the mine’s dire situation through corporate rescue proceedings have encountered obstacles. Metallon Corporation has challenged the legal standing of those seeking redress, arguing that they do not meet the requirements to file under the Insolvency Act. The Supreme Court overturned a corporate rescue order based on a technicality, leaving the future of the mine uncertain. Amidst this confusion, a politically connected individual named Pedzisai “Scott” Sakupwanya and his company,
Better Brands Mining, capitalized on the situation and annexed the mine through an opaque Tributary Agreement facilitated by the Interim Corporate Rescue Partner. Better Brands, lacking the necessary mining equipment, engaged small-scale miners for surface mining activities, leading to ecological disasters, social problems, and an increase in criminal activities. Scott Sakupwanya, known as “Mr. Gold,” is a Zanu PF politician with close ties to President Emmerson Mnangagwa. However, he has no verifiable history in the mining industry and operates primarily as an intermediary for gold dealers. Allegations of gold smuggling and abuse of gold licenses have been leveled against him.
A recent visit to the Redwing Mine revealed a chaotic and deteriorating landscape, characterized by makeshift structures and numerous artisanal miners working under hazardous conditions. Better Brands has failed to rehabilitate thousands of open pits, resulting in environmental degradation and negative social impacts. The company’s operations have led to gold leaks and the pollution of the Mutare River. Local communities have experienced an upsurge in crime rates and detrimental social effects
