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In the letter, Government indicated that it was ready to transfer mining rights in Redcliff and Buchwa in line with a Cabinet resolution on the matter to NewZim Steel.
“The requisite transfer fees and duty shall be for the transfereer’s accounts. The Ministry of Mines and Mining Development also wishes to advise that: the claims that are under legal dispute will be dealt with upon a favourable outcome by the Supreme Court of Zimbabwe whereupon issues and conditions of their transfer will be discussed,” Mr Mupazviriho said.
He invited Essar for further discussions.
“The ministry also wishes by copy of this letter to invite Essar Africa Holdings to come and discuss the terms and conditions for the renewal of Special Grant numbers 2104 and 5123 with the technical teams from the Ministry of Mines and Mining Development,” Mr Mupazviriho added.
The change of ownership at NewZim Steel comes after Mines and Mining Development Minister Obert Mpofu last month said the Essar deal should be revisited.
He argued that the Indian firm should not be allowed to pay only US$700 million for resources worth over US$30 billion.
Giving Oral evidence before the Parliamentary Portfolio Committee on Industry and Commerce, Minister Mpofu said he would only transfer mineral rights of iron ore to
Essar only for actual value, as part of the conditions he wanted observed on the deal.
Minister Mpofu further made it clear that Essar must comply with the country’s indigenization policy and should not be allowed to export iron ore.
Online Reporter