Wayne Lumbasi
Zimbabwe’s gold sector is enjoying a renewed glow after US-listed miner Caledonia Mining Corporation successfully raised $150 million to develop its flagship Bilboes gold project, set to become the country’s largest gold mine once operational.
The funding was secured through a seven-year bond issue, attracting overwhelming investor interest that topped $600 million, highlighting growing international confidence in Zimbabwe’s mining potential. The offering was eventually capped at $150 million, marking one of the most significant foreign capital raises for a Zimbabwean project in recent years.
Bilboes, located in the mineral-rich Matabeleland region, is expected to transform Caledonia’s footprint in the country. Construction and development activities are set to accelerate following the successful bond raise, with first production targeted for 2028. By 2029, the mine is projected to produce approximately 6.2 tonnes of gold annually, positioning it as a cornerstone of Zimbabwe’s gold industry.
The project comes at a time when Zimbabwe’s gold sector is recording historic performance. National gold output reached a record 47 tonnes in 2025, driven by a mix of large-scale mining investments and increased deliveries from small-scale producers. The surge has strengthened gold’s role as a key foreign currency earner for the country and reinforced its status as one of Africa’s notable gold producers.
Caledonia’s success in attracting strong demand from global investors is widely seen as a vote of confidence not just in the Bilboes project, but in Zimbabwe’s broader mining outlook. Despite longstanding concerns around policy stability and currency risks, the scale of the investor response suggests that high-quality assets continue to draw attention when backed by clear development plans and robust production forecasts.
Once operational, Bilboes is expected to deliver significant economic benefits, including employment creation, infrastructure development, and increased export revenues. For Caledonia, the mine represents a strategic leap, complementing its existing operations in Zimbabwe and anchoring long-term growth.
As gold prices remain firm globally and Zimbabwe’s production continues to climb, the Bilboes project stands as a symbol of the sector’s resurgence highlighting how renewed investment, large-scale projects, and strong market demand are reshaping the country’s mining narrative.
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