The Zimbabwean mining industry experienced mixed fortunes in 2009, as key minerals, mainly gold and platinum defied production odds, while other minerals had an indifferent run as production declined by varying degrees, the Chamber of Mines President Victor Gapare said.

Zimbabwe's gold output rose 39% to 4.9 metric tones, while platinum production went up by a quarter, as prices of the two strategic minerals improved.

Gapare spoke at that 71st Chamber of Mines annual meeting, covered by All Africa. The conference was held under the title of "Rebuilding the Mining Industry for Sustainable Growth, Development and Empowerment".

Gapare said that the increase in gold output – though significant – was very low considering the sector's potential.

Looking ahead to the end of the year, gold projections are for a rise of between 7-8 tons, although production faced critical challenges of lack of capital as the rest of the mining sector.

"The greatest challenge facing the gold mining industry is lack of capital. Due to the economic problems which the country experienced in the last several years, the gold mining industry failed to recapitalize as is required by conventional practice," said Gapare.

The industry is targeting 20 tons per year in the short to medium term at current production levels of 35%.

Platinum and palladium production increased as the Zimbabwe's platinum mines defied capital constraints.

The mineral benefited from firming global prices which saw platinum price increasing from $926 per ounce to end last year. Palladium prices rose to $393 per ounce.

Output in the production of this key mineral is expected to keep rising as Zimplats expands production and sets up a refinery in the country while new platinum group of metals production could commence at Unki Mine in the fourth quarter of this year.