Anglo American: mining project in Zimbabwe

June 25, 2008 · Posted in Exploration, Mining Industry, Mining News 
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Global mining giant Anglo American said Wednesday it was “reviewing all options” surrounding a major project to produce platinum in Zimbabwe, a nation gripped by political violence.

The Times newspaper had reported in its Wednesday edition that Anglo American planned to invest 400 million dollars (257 million euros) into a platinum mine situated in the southern African country.

British Prime Minister Gordon Brown meanwhile told parliament on Wednesday that the business world should question its involvement in Zimbabwe.

Anglo American said in a statement it “is monitoring the situation in Zimbabwe very closely and is reviewing all options surrounding the development of the project.”

“It has been made clear to Anglo American that if it ceases to develop this project, the government of Zimbabwe will assume control,” the company added.

However it also said the livelihoods of hundreds of people would be threatened by it pulling out of Zimbabwe.

Anglo American said the Unki platinum project in Zimbabwe, on which it has been working since 2003, had yet to begin production and would not generate revenues “for some years.”

The group added that it was “deeply concerned about the current political situation in Zimbabwe and condemns the violence and human rights abuses that are taking place.”

In Britain’s parliament on Wednesday Brown told lawmakers: “We do not want to do further damage to the Zimbabwean people, but when businesses are helping the (Robert) Mugabe regime, they should reconsider their positions.”

Brown was responding to Conservative opposition leader David Cameron who had called upon the Labour prime minister for this thoughts on the worsening situation in Zimbabwe.

Anglo American said Wednesday it “is in full compliance with all relevant national and international laws relating to its activities” in the African nation.

It added: “Anglo American has a clear responsibility to protect the wellbeing of its more than 650 employees and contractors, as well as their families and all those who depend indirectly on the activity around the project, all of whose livelihoods would be jeopardised should the company withdraw from Zimbabwe.”

Mugabe’s Zimbabwe government has vowed to press ahead with a presidential run-off election on Friday despite the withdrawal of opposition candidate Morgan Tsvangirai after the latter cited political violence against his supporters.

Several Western nations, including Britain and the United States, have urged the world to isolate Mugabe and declare his presidency illegitimate if there is not a free and fair ballot.





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