Caledonia Mining Corporation PLC (AIM:CMCL, NYSE-A:CMCL, VFEX:CMCL) has noted proposed changes to Zimbabwe’s royalty and tax regimes for gold producers.
New measures were included in the 2026 National Budget, and would raise the royalty rate to 10% when the gold price exceeds US$2,500 per ounce and adjust capital expenditure deductions across the life of a project.
The company said it is reviewing the potential impact on its asset portfolio, including the Bilboes gold project. It added that profitability and cash generation at the Blanket Mine would be expected to be lower if the royalty change is implemented.
Caledonia said it continues to engage with the authorities.