Zimbabwe’s government owes South Africa’s Valterra Platinum approximately US$100 million in unpaid export proceeds for 2025, the mining company said on Wednesday, highlighting ongoing liquidity challenges faced by exporters in the country. The company indicated that partial payments have begun in 2026, but full settlement of arrears is expected to take several months.
Valterra Platinum, which operates the Unki mine in Zimbabwe, produces platinum group metals (PGMs) concentrates, contributing around 7 percent of the company’s total output last year. The Unki mine generated 219,700 ounces of PGM concentrates in 2025.
Despite its relatively small share of the company’s output, the delayed export proceeds have been a significant financial concern for Valterra and other mining firms operating under Zimbabwe’s retention policy.
Under current regulations, Zimbabwean exporters are required to convert 30 percent of their export proceeds into local currency, while retaining 70 percent in foreign currency. The measure is intended to bolster domestic liquidity, but Valterra and its peers have faced delayed payments under this scheme.
Zimbabwe’s government has cited cashflow constraints as the reason for the delays. Valterra CFO Sayurie Naidoo told analysts during a results call, “It’s about US$100 million that hasn’t been able to be accessed by us. We have been engaging with the Reserve Bank and the Ministry of Finance, and we are receiving some funds in 2026 so far, and we do expect to receive that over the next couple of months.”
The cashflow issues come amid rising global demand and strong prices for platinum. Valterra reported that its full-year headline earnings for 2025 doubled to 16.7 billion rand (US$1.05 billion), driven by a 26 percent increase in platinum group metals prices and operational cost savings of 5 billion rand.
The company’s shares jumped more than 10% on the news. The surge in earnings reflects a combination of favorable market conditions and cost efficiencies following Valterra’s demerger from Anglo American last year.
Spot platinum prices more than doubled in 2025, reaching a record US$2,757.69 per ounce on January 26, 2026. The gains have been attributed to tight global supply, rising investor demand for precious metals, and regulatory shifts in Europe, including the European Union’s reversal on its planned 2035 ban on internal combustion engine vehicles. Platinum is a key component in catalytic converters, which curb vehicle emissions, further linking industrial demand to environmental policies.
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Valterra’s strong financial performance has allowed the company to declare a final dividend of 43 rand per share, bringing total payouts for 2025 to 12 billion rand. The combination of higher platinum prices, operational efficiencies, and dividend distributions underscores the company’s resilience despite challenges in cash repatriation from Zimbabwe.
The issue of delayed payments highlights the broader difficulties faced by mining companies operating in Zimbabwe, where regulatory frameworks and government liquidity often impact the timely remittance of export earnings. While the retention rule is designed to support domestic currency reserves, it has created financial friction for exporters, potentially affecting investment confidence.
Naidoo emphasized that ongoing dialogue with Zimbabwean authorities remains constructive, noting that payments are starting to flow in 2026 and that the company expects full settlement of the arrears over the coming months. The development will provide relief for Valterra’s working capital and enable continued investment in operational expansion and technology upgrades at its Unki mine.
As Zimbabwe continues to navigate macroeconomic pressures and liquidity constraints, the timely clearance of export proceeds is critical for maintaining investor confidence and ensuring that the mining sector can sustain its growth trajectory. Valterra’s experience underscores the delicate balance between government policy objectives and the operational needs of large-scale mining investors.
