Tharisa Plc THST.L said on Monday it signed a 25-year special mining lease agreement with the government of Zimbabwe for its Karo platinum group metal (PGM) venture, a key step in advancing the project.
Tharisa, an integrated PGM and chrome producer operating in South Africa, is developing the Karo project in Zimbabwe. The project is expected to produce 226,000 ounces of PGMs annually in the first phase.
First production from the Karo project is now expected in 2027, three years behind the initial schedule, following a sharp decline in PGM prices between 2023 and 2024.
PGM prices fell sharply as expectations of electric vehicle growth dampened the outlook for the metals, which are mainly used in catalytic converters that curb vehicle emissions, which pure battery EVs do not use.
PGM prices recovered mid-2025 after output in major producer South Africa continued to decline, while the growth of EVs proved slower than previously expected.
Tharisa CEO Phoevos Pouroulis said the signing of the special mining lease agreement provides the long-term security of tenure and fiscal certainty required to advance the Karo project.
(Reporting by Nelson BanyaEditing by Tomasz Janowski)
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