The Sunday News
Fairness Moyana in Hwange
COAL company, Dinson Colliery in Hwange has embarked on a massive expansion drive that will see it producing more that 200 000 tonnes of coke, becoming the biggest coke producer in Africa.
The company located in Hwange District has since established a 26 oven coke battery producing 150 000 tonnes per annum under its three phased project. The second phase which is underway will see the construction of another battery with 42 ovens and capable of producing 200 000 tonnes.
Briefing the Minister of Mines and Mining Development, Winston Chitando during a tour of the project on Tuesday last week, the company’s managing director, Mr Xu Benson said construction of additional battery ovens was at an advanced stage with its commissioning expected in July.
“We are planning to complete the installation and commission the second unit by July this year. The production capacity will be increased by 200 000 tonnes on top of the 150 000 tonnes,” said Mr Benson.
Dinson Colliery managing director, Mr Xu Benson shows Mines and Mining Development minister, Winston Chitando a stockpile of coke at their phase one plant
He said civil works for the third phase that will boast of a massive one million tonnes production unit, the biggest in Africa has already started.
“Work on the third phase has already begun with civil works currently underway. This plant is going to produce one million tonnes of coke making it the biggest in Africa. We are currently getting our coal from the local market such as Zambezi Gas and Hwange Colliery Company for our completed phase one plant,” he said.
The plant was commissioned by President Mnangagwa in 2020 during his tour of some of the investments under the mantra, “Zimbabwe is open for business”.
In terms of revenue the first phase will rake in US$37 million while the second unit will contribute US$50m bringing the total to around US$87m per annum. The third phase will see an additional US$250m being realised. Minister Chitando said the project was a huge contributor to Government’s US$12 billion mining industry target.
“This project fits well into the US$12bn mining target in two ways. Firstly, we have the direct sales from here and secondly it feeds into the Consolidated Mining Project which value as coal, iron ore and Ferraro-chrome.
Once that one is up and running 1.2 million tonnes of carbon steel with an average price of about US$800 000 then you are talking about a billion dollars coming from the Consolidated project,” said Minister Chitando.
He said the whole project that was going to see the production of tar, bitumen and material used in production of printing cartridges was a demonstration of complete value addition.
“Also not all the coke is going into the carbon steel or ferro-chrome so if you add all that up it will contribute over a billion dollars to the US$12b target. So it’s actually complete value addition including the production of bitumen and material to make cartridges.”
The company which is a division of Chinese steel producer giant, Tingshang Corporation, employs 355 workers mostly locals with an additional 100 expected to be engaged for the second plant.
Tingshang is also constructing a carbon steel manufacturing plant in Mvuma and has a ferro-chrome mine in Selous. Minister Chitando who was on a two-day tour of mining companies in Hwange also visited Hwange Colliery Company Limited, South Mining and Zambezi Gas and Coal.
