Coal in Zimbabwe

1. A large, under-developed resource

   Resources are estimated at 25 bn t, with 502 Mt of reserves, and output roughly doubled from 3.1 Mt in 2013 to about 6.3 Mt in 2025.^1,2

2. Demand at home

   Hwange power station's Units 7 and 8 came online in 2023–24 and Units 1–6 are being refurbished; Tsingshan's Manhize steel plant and Hwange coke batteries need coking coal.^3,4,20

3. Logistics improving

   An October 2026 agreement moves 1.1 Mt a year of Hwange coal from road to rail, after national rail freight fell from 12 Mt in the 1990s to 2 Mt in 2025.¹⁶

Zimbabwe's coal lies in Lower Karoo rocks in two basins: the Mid-Zambezi basin in the north-west, around Hwange, Binga and Gokwe, and the Save–Limpopo basin in the south. A 2017 study estimated about 22 trillion cubic feet of coalbed methane across the Mid-Zambezi and north-east Kalahari basins, Zimbabwe and Botswana combined; we found no producing operator.^2,10

Coal is sold as thermal coal for power and industry, priced on calorific value, ash and sulphur, or as coking coal for coke and steel, which needs low ash, the right volatile matter and good swelling. Hwange is known for both.

Thermal or coking

Hwange coal is bituminous and supplies both thermal coal and some of southern Africa's best coking coal.⁹

What to ask for

A laboratory proximate analysis (ash, volatile matter, moisture, fixed carbon), calorific value and sulphur, the swelling index for coking coal, and seam thickness and depth from drilling.

Power

Hwange power station, run by ZPC, is supplied mainly by Hwange Colliery and Makomo. Units 7 and 8 were added in 2023–24, and a US$455m, 15-year concession covers refurbishing Units 1–6.⁴

Coke and steel

Dinson Colliery (Tsingshan) runs a coke battery at Hwange of 150,000 t a year, expanding to 350,000 t, buying coal from Hwange Colliery and Zambezi Gas and supplying the Manhize steel plant and Afrochine's smelter.^3,20

Hwange Colliery

Hwange Colliery recommissioned its own coke oven in July 2026 after 12 years and sells coking and industrial coal in the region.^21,22

Regional exports

In 2023 Zimbabwe's coke went mainly to South Africa, Zambia and the DRC, and its coal mainly to Zambia, the DRC and South Africa.^5,6

Strategic mineral

Coal was designated a strategic mineral under the Finance Act 2023, requiring a special mining lease or special grant.³

New levy

From 1 January 2026 a levy of 3% of the gross value applies to coal sold locally or exported (Finance Act No. 7 of 2025; the budget had proposed 2%).^11,12

Titles under the new Bill

The Mines and Minerals Bill, 2025 drops Exclusive Prospecting Orders in favour of a 40 ha, 12-month exclusive prospecting licence and makes presidential special grants mandatory for coal, oil and gas. We found no confirmation it has been enacted.¹³

National parks

Mining in national parks has been banned since September 2020, after coal grants inside Hwange National Park caused an outcry.¹⁵

Exports

All minerals other than gold are exported through the Minerals Marketing Corporation of Zimbabwe.¹⁴

Partial sale with a royalty

In 2024 an investor agreed to buy 51% of the Muchesu mine for about US$20m, matching the seller's historic spend; the seller kept about 24% plus a life-of-mine royalty of US$2–8 a tonne by coal type, with a US$2m annual minimum.¹⁷

Joint venture with local holders

Large coal titles are often developed by a capable partner taking a majority stake while local holders keep a share — for example 70/30 on the Lubu project near Hwange.¹⁸

Offtake to power and coke

Domestic offtake to the power station and to coke and steel plants is the main route to revenue, so the offtaker's ability to pay matters as much as the coal.^4,20

How Munisa works coal:

Teasers only: province level, figures as reported by the holder, prices discussed with the desk. Exact locations and documents follow an NDA.

1. [1]Equity Axis, How coal could revive Zimbabwe's industrial sector, 23 January 2026. equityaxis.net
2. [2]Global Energy Monitor, Zimbabwe and coal, edited 2 November 2026. gem.wiki
3. [3]USGS, 2024 Minerals Yearbook: Zimbabwe, August 2026. pubs.usgs.gov
4. [4]Global Energy Monitor, Hwange power station, edited 3 November 2026. gem.wiki
5. [5]TrendEconomy, Zimbabwe: coke exports (HS 2704), 2023 data. trendeconomy.com
6. [6]TrendEconomy, Zimbabwe: coal exports (HS 2701), 2023 data. trendeconomy.com
7. [7]GMK Center (citing Kallanish), Global prices for coking coal have been volatile in October, 21 October 2026. gmk.center
8. [8]TheCoalHub, Global coal prices correct as Europe, China and Australia weaken, 2 November 2026. thecoalhub.com
9. [9]University of the Witwatersrand (Maponga, PhD thesis), Hwange coal: coking and thermal coal quality, 2021. wiredspace.wits.ac.za
10. [10]University of the Free State (Potgieter, MSc dissertation), Coalbed methane in the Mid-Zambezi and north-east Kalahari basins, 2017. scholar.ufs.ac.za
11. [11]Muvingi & Mugadza, Mining tax and regulatory updates in Zimbabwe (2026): Finance Act (No. 7) of 2025, 5 January 2026. mmmlawfirm.co.zw
12. [12]KPMG, Zimbabwe: direct and indirect tax proposals in 2026 budget, 1 December 2025. kpmg.com
13. [13]Muvingi & Mugadza, Overview of the provisions of the Mines and Minerals Bill, 2025, 6 August 2025. mmmlawfirm.co.zw
14. [14]US International Trade Administration, Zimbabwe Country Commercial Guide: Mining and Minerals, 26 March 2026. trade.gov
15. [15]VOA, Zimbabwe bans mining in national parks after uproar over Chinese grants, 9 September 2020. voanews.com
16. [16]Reuters (via Kitco), Tsingshan's Zimbabwe steel unit partners state rail firm to boost haulage, 5 October 2026. kitco.com
17. [17]Contango Holdings (RNS, via Share-Talk), Term sheet for investment and part purchase of Muchesu, 17 June 2024. share-talk.com
18. [18]Nehanda Radio, UK firm acquires 70% of Hwange coal project, 30 January 2020. nehandaradio.com
19. [19]Global Energy Monitor, Sengwa coal mine (and other Zimbabwe mine pages), August 2026 release. gem.wiki
20. [20]ESG Network Zimbabwe, Dinson Colliery profile, 12 October 2022. esgnetworkzimbabwe.co.zw
21. [21]Mining Index (NewsDay), Hwange Colliery recommissions coke oven, 27 July 2026. miningindex.co.zw
22. [22]Mining Index, Hwange Colliery first-quarter sales, 22 May 2023. miningindex.co.zw

What we could not pin down

• National output of about 6.3 Mt in 2025 is an analyst figure; we found no official 2025 total.
• We could not verify Hwange Colliery's annual tonnage, so it is not quoted.
• Hwange power station capacity is reported as 1,480, 1,520 or 1,590 MW depending on the source and unit ratings.
• We found no Zimbabwe coal or coke export data after 2023, and no current Richards Bay (API4) settlement.
• Coalbed methane estimates range widely and we found no producing operator.
• The current coal royalty rate and the status of the Mines and Minerals Bill are unconfirmed.

Compiled by Munisa Resources from public sources, as dated above. Prices and rules change; check current figures before relying on them. Nothing here is investment, legal or tax advice, an offer of securities, or a statement of Mineral Resources or Reserves. See our terms of use. Munisa Resources · dealroom.munisaresources.com