Lack Of Sound Sponsorship Main Challenge in Mining

By A Correspondent| Lack of sound sponsorship and dearth of basic empowerment skills are the main problems affecting artisanal miners.

Lack of insurance is another challenge that leaves miners at the mercy of risks induced losses.

In a bid to empower and equip miners with essential skills, Three Wingers Enterprises, a Zimbabwean company that focuses on mining consultancy, has embarked on offering theoretical and practical assistance to miners.

See presentation below:

SMART MINING OR SPONSORSHIP

Artisanal mining is sustained by what is commonly called sponsorship, sponsors bring money, food, diesel, explosives, headgears and expertise. 

They either bring all or one of them to help mine owner and workers achieve what they couldn`t do on their own.

Bringing all requirements, increases risks of huge loses but decreases chances of losing out. Basically, sponsorship is the unrecognized life blood of Artisanal mining directly or indirectly. Usually, experienced sponsors do enter into legally binding agreements with mine owners and workers, to reduce chances of getting into conflicts. 

Those that are usually paid back, do reap huge profits of over 100%, those who are not paid back usually disappear forever.

REASONS FOR FAILURE TO GET PAY BACK IN SPONSORSHIP PACKAGES

1 under sponsorship

2 lack of knowledge of Artisanal mining

3 improper monitoring tools

4 lack of insurance (guarantee)

6 failing to include all parties when signing.

Sponsors should go the ground with sufficient funds and should not leave key areas of the transaction unsatisfied, so that you don`t leave room for other sponsors to be romped in to fill in gaps and shortages.

Before you sponsor ask questions that would clearly give you an insight on exactly how much you have to pour into the project, who covers what, and what exactly will be expected of you.

Sponsors should be on the lookout of  mine owners who make requests for excessive amounts of money, in the spirit of converting some of the money to personal use.

You need to put in place proper monitoring mechanisms and also put up a leadership team of knowledgeable and trustworthy individuals, to oversee the operations.

Artisanal gold mining in most cases is not easy and one has to persevere in order to attain the desired goals.

In order to reduce risks, look for a mining consultancy company to do analysis and agreements writing for you.

Below is a general list of first level mining requirements.

1 compressor

2diesel   

3 explosives sets   

4 Food

5 Petty cash

6 ore transportation and permits or alternatively an onsite hammermill

Call /WhatsApp 0774028830/0716837127, for more