London and Zimbabwe-listed mining firm Kavango Resources has successfully raised approximately US$8,4 million from investors in Zimbabwe and the United Kingdom, a move aimed at accelerating the development of its gold projects in Filabusi, Matabeleland South Province.
The capital injection will support the growth of Kavango’s Hillside Gold Project while funding further exploration and potential acquisitions across Zimbabwe’s rich gold belt. The raise was conducted through parallel subscriptions in the UK and on Zimbabwe’s Victoria Falls Stock Exchange (VFEX). The company confirmed:
“Kavango Resources plc is pleased to announce that it has raised, by way of subscription, approximately US$4,7 million in Zimbabwe (the ‘VFEX Subscription’) and £2,8 million (US$3,7 million) in the UK (the ‘UK Subscription’).”
The shares issued carry roughly a 33 percent premium to the mid-market price recorded on March 5, 2026, with 629,99 million new ordinary shares issued under the two subscriptions.
The capital raise also demonstrated leadership confidence, with Chairman and interim CEO Peter Wynter Bee personally subscribing for 20 million shares in the UK tranche. The firm said in a statement seen by ZiGoats.com:
“This investment by management reflects our strong commitment to the Hillside Gold Project and belief in its long-term potential.”
Trading of the new shares is expected to commence on both the London Stock Exchange and VFEX once regulatory approvals are finalised, with dealings anticipated to begin around March 16, 2026.
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Gold Sector Momentum Amid Global Challenges
The successful fundraising comes as many junior miners worldwide face tighter financing and volatile commodity markets. Analysts say Kavango’s ability to attract both local and international investors signals sustained confidence in Zimbabwe’s gold sector, especially as bullion prices remain near historic highs.
Gold remains Zimbabwe’s most strategic mineral, accounting for the largest share of mineral exports and providing critical foreign currency. In 2025, Zimbabwe exported 44,7 tonnes of gold valued at US$4,8 billion, a record performance.
Hillside Gold Project Expansion
The Hillside project, located in the historic Filabusi Greenstone Belt, is currently producing about two kilogrammes of gold per month from small-scale operations. The funds raised will enable the company to scale up production, expand mining and processing infrastructure, and fund broader exploration initiatives. The company said:
“Proceeds from the VFEX and UK subscriptions, combined with existing cash resources, amount to approximately US$13,5 million. These funds will be used to expand Hillside gold production, acquire Nara, cover associated litigation expenses, further exploration, and general working capital in Zimbabwe.”
Hillside includes multiple gold prospects such as Bill’s Luck, Nightshift, Britain, and Steenbok, where exploration has already confirmed mineralised structures suitable for both open-pit and underground mining.
The fundraising highlights continued international investor appetite for Zimbabwe’s gold industry, which remains attractive due to strong global gold prices and the country’s vast, underdeveloped mineral potential.
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