Global mining investors are turning renewed attention to Zimbabwe’s platinum sector after Karo Mining said it remains financially well positioned to advance its flagship platinum project, buoyed by a recovery in platinum group metal (PGM) prices and improving global market conditions.
Karo Mining, a subsidiary of Johannesburg Stock Exchange–listed Tharisa Capital, is preparing to move its Zimbabwean platinum venture into its next critical phase, which includes completing construction and transitioning to commissioning and operations. The company is targeting “first ore in mill” in the second half of 2026, a key milestone for long-term cash flow generation.
The project, located along Zimbabwe’s mineral-rich Great Dyke in Mashonaland West Province, had experienced delays following a sharp downturn in global commodity prices between 2023 and 2024. The slump, which particularly affected PGMs, forced many developers across the sector to slow construction activity and reassess capital deployment.
Market conditions have since shifted. After a steep decline in palladium and rhodium prices in 2023, PGM markets staged a strong rebound in 2025, improving the economics of large-scale platinum investments. Basket prices rose by approximately 45 percent during the year, averaging US$1,882.74 per six-element ounce, up from US$1,302.54 in 2024.
Karo’s management says this recovery has materially strengthened the project’s funding profile and debt capacity, reinforcing confidence in its ability to finance the remaining development stages.
Despite reporting a consolidated loss of US$2.5 million for the year to September 2025—slightly higher than the US$2.2 million loss recorded in the prior period—the company said the figures primarily reflect continued investment into the Zimbabwe project rather than operational stress.
The balance sheet remains robust. Total assets stood at US$156.6 million as at September 30, 2025, while equity rose to US$100.9 million, underscoring sustained shareholder backing. Cash balances also improved to US$12.35 million, supported by shareholder funding and tighter financial discipline.
Construction of the Karo Platinum Project, which commenced in December 2022, is reported to be progressing in line with expectations, with capital expenditure to date remaining within planned parameters.
Once operational, the mine is expected to rank among the largest PGM developments in Zimbabwe, positioning the country to benefit from renewed global demand for platinum, palladium and rhodium, particularly in automotive, industrial and energy-transition applications.
In a statement accompanying the results, the board highlighted the improved macro and pricing environment as a key driver of investor confidence.
“Prices, which declined in 2024 and slowed construction activity, improved by 45 percent in 2025 to a spot basket price of US$1,882.74 per 6E ounce,” the company said. “This has significantly enhanced the estimated fundability and debt capacity of the project.”
For global investors seeking exposure to strategic minerals in emerging markets, Karo’s progress reinforces Zimbabwe’s growing relevance as a platinum investment destination amid recovering commodity cycles and improving project economics.
