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Earlier this week Tharisa has reached a major milestone in the development of its Karo Platinum project in Zimbabwe, with Karo Platinum Private Limited signing a Special Mining Lease Agreement with the Zimbabwean government that secures the long-term tenure and fiscal framework needed to advance the project towards first production.

Zimbabwean President Emmerson Mnangagwa attended the signing ceremony at State House in Harare on 24 August 2026. The agreement was signed by Mines and Mining Development Minister Dr Eng. Polite Kambamura and Finance, Economic Development and Investment Promotion Minister Mthuli Ncube.

The Special Mining Lease, granted under Zimbabwe’s Mines and Minerals Act, provides Karo Platinum with an initial 25-year mining tenure covering 23 903 ha, together with the fiscal and operational framework applicable to large-scale, high-value mining projects considered to be of national significance. Tharisa says the agreement represents a significant de-risking milestone for Karo, providing the certainty required to progress the project towards production of PGM concentrate.

Karo positioned as long-life PGM asset

Karo Platinum is 85%-owned by Karo Mining Holdings, with the Zimbabwean government holding a 15% unencumbered free-carried interest through Generation Minerals. The project is located on Zimbabwe’s Great Dyke, one of the world's major PGM-producing geological formations, and is being developed as a phased, large-scale operation. Karo has an open-pit mineral reserve of 2.1-Moz on a 4E basis and a Mineral Resource of 11.2-Moz. Potential underground mining could extend the project’s life to more than 50 years.

More than $240-million has been invested in Karo to date. Tharisa's latest project update indicates that open-pit waste stripping is under way following mobilisation of the Phase 1 mining contractor, while major construction milestones have been achieved in the concentrator area and long-lead equipment is being installed. Phase 1 is designed to produce 226 000 oz/y of PGMs and employ more than 1 000 people, making Karo a significant component of Tharisa’s strategy to diversify and expand its PGM production base. Karo's development is also intended to contribute to Zimbabwe's drive to extract greater value from its mineral resources and expand the country's position in the global PGM industry.

Underground mining expands Tharisa's own resource base

The Karo milestone comes as Tharisa simultaneously advances a major underground transition at its namesake Tharisa Mine in South Africa's North West province. In March, the company conducted the first blast at the Apollo portal, formally marking the transition to underground mining alongside the mine's existing open-pit operations. The blast took place on 31 March 2026 and represents a significant step in Tharisa's strategy to extend the life of the operation beyond the depletion of its open-pit resources.

The underground development is expected to provide more than 60 years of additional mining potential. Tharisa plans to invest more than $500-million over the next decade in the underground operation, with the project designed to sustain PGM production of more than 200 000 oz/y alongside chrome concentrate production of about 2-million tonnes a year. By June, underground development remained on schedule and within budget, with portal development progressing towards the delivery of first run-of-mine ore during the fourth quarter of Tharisa's 2026 financial year.

The parallel development of Karo and the underground Tharisa Mine reflects Tharisa's broader strategy of building a longer-life, diversified PGM and chrome portfolio rather than relying solely on conventional open-pit production.

Government partnership central to Karo development

Kumbirayi Katsande, chairman of Karo Platinum, described the Special Mining Lease as an important milestone for both the project and Zimbabwe's mining sector. He said the agreement provides the long-term certainty needed to progress a project of national significance while demonstrating Zimbabwe's commitment to attracting responsible, long-term investment into its mineral resources.

Tharisa CEO Phoevos Pouroulis said the agreement was a defining milestone for Karo and the company's growth strategy. “It provides the long-term security of tenure and fiscal certainty required to advance a project of this scale and strategic importance,” Pouroulis said. He added that Phase 1, with its planned 226 000 oz/y of PGM production and more than 1 000 jobs, remained central to Tharisa's 2030 strategy.

From mine development to long-term mineral growth

The signing comes as Tharisa increases investment across its portfolio, with spending on both Karo Platinum and its South African underground development contributing to higher capital requirements during 2026. The company's third-quarter results showed that Karo investment was continuing, with strategic infrastructure work progressing and open-pit waste stripping well under way. Tharisa also reported that exploration, mine planning and infrastructure development at Karo were largely complete.

For Tharisa, the significance of the Special Mining Lease therefore extends beyond securing the immediate development framework for Karo. Together with the transition to underground mining at its South African operation, it forms part of a strategy aimed at extending resource lives, increasing PGM production capacity and establishing a multigenerational mineral resource base. The next major milestone will be moving Karo from construction and development into production, with the company targeting first ore in the mill following completion of project funding and the remaining development programme.

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