Shuka Minerals (LSE:SKA) used 2025 as a transformational year, implementing board changes, securing additional funding support and advancing its strategy to diversify beyond coal. Meanwhile, the company’s Rukwa coal mine in Tanzania remained under care and maintenance as preparations continued for a planned production restart in the third quarter of 2026. Management is progressing a targeted capital expenditure programme to bring the mine back online, with equipment leasing revenue providing interim support and negotiations continuing with cement and power sector customers for coal supply agreements covering up to 10,000 tonnes per month.
Kabwe acquisition broadens commodity portfolio
During the year, Shuka completed the acquisition of Leopard Exploration and Mining Limited, securing full ownership of the Kabwe Mine in Zambia. The historic lead and zinc operation holds independently verified mineral resources alongside favourable economic projections. Supported by a £2 million funding commitment from major shareholder Gathoni Muchai Investments, the appointment of new independent directors and a staged exploration and development programme, the company is expanding its exposure beyond coal while positioning itself for future growth across East and Central Africa.
Outlook
Shuka’s near-term outlook continues to be shaped by financial pressures and weak technical market signals. Although the Kabwe acquisition provides a potentially significant growth platform, delays in funding and unfavourable valuation metrics remain key factors weighing on investor sentiment.
More about Shuka Minerals Plc
Shuka Minerals Plc is an Africa-focused mining company listed on AIM in London and AltX in Johannesburg. Its portfolio includes the Rukwa coal mine in Tanzania and the recently acquired Kabwe lead-zinc-silver-vanadium project in Zambia, reflecting the company’s strategy of building a more diversified portfolio spanning coal and battery-related metals.
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