Small mining companies are likely to lead the push into Zimbabwe if Robert Mugabe’s regime falls, according to a top mining analyst.
As Mugabe's regime maintains a fragile hold on power following last week's elections in Zimbabwe, mass media reports claim resource companies are lining up to rebuild the country's once mighty gold mines.
But the large mining companies are unlikely to rush in should the political climate change in their favour, says Ernst & Young's Director of Global Mining and Metals Dr Tim Williams.
"If democracy comes in, and depending on the law, no big miners will be coming in for at least five years," says Williams.
"The risk-conscious mining industry will not be in a rush to exploit the mineral-rich country, known to contain large platinum and gold reserves."
Williams believes the Great Dyke would be "the most obvious target" for mining companies mining for gold and other minerals.
"The geology in Zimbabwe is very good and the gold is very attractive ... but it does need a lot of exploration," says Williams.
The Great Dyke range, which runs north-south through the centre of the country, is host to vast metal and mineral ore deposits including gold, silver, chromium, platinum, nickel and tin.
Rio Tinto has been digging for diamonds in the Zimbabwe for decades while South African companies such as Impala Platinum and Canadian mining companies have also been successfully exploiting the country’s mineral reserves.
Zimbabwe's polls combining presidential, House of Assembly, local government and senatorial votes gave the opposition Movement for Democratic Change (MDC) party two more seats than Mugabe's ZANU-PF, leading the opposition to claim it had won the presidency.
But official results have not been released, with party leaders set to meet on Saturday at a regional summit to discuss the outcome of the elections.
By Ozge Ibrahim
