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Business Reporter
THE Hwange Colliery Company Limited will double its production volumes starting next month with annual output expected to reach 3,5 million tonnes by 2014 following completion of a $32 million deal to recapitalise the company, official has said. Last year, HCCL produced 1,9 million tonnes of coal, while since the beginning of this year, 900 000 tonnes of coking coal have been delivered.
The company’s Metallurgical operations manager, Mr Bongani Ndlovu, said the company would receive new mining equipment this month which will enable it to increase production capacity.
“HCCL projects to double its volumes starting August. We started the year on a slower note but expected to end the year at 2,5 million tonnes.
“In 2014, our coal sales are projected at 3,5 million tonnes,” he said at a transport symposium for the coal industry organised by the National Railways of Zimbabwe in Hwange last week.
He said deposit for the equipment, which included dump trucks and excavators, had already been paid.
“The company has paid a substantial deposit for this equipment and delivery is expected in July 2013,” said Mr Ndlovu.
The equipment which the company expects to take delivery of included five x 55 tonne dump trucks, 9 x 95 tonne dump trucks, two x 70 tonne excavators and one x 55 tonnes crane.
He said in terms of capacity, the equipment currently at the colliery was producing a third of what the new machinery would produce.
“We want to increase capacity by acquiring bigger equipment,” he said.
The bulk of coal produced at HCCL is sold to the Hwange Power Station, which last year accounted for 50 percent of total sales.
Meanwhile, one of the new players in the coal mining sector, Makomo Resources, was now supplying 6 500 tonnes of coal to the Hwange Power Station daily, the general manager, Mr Samson Mabvira said.
He said the mine was also supplying the three thermal power stations of Bulawayo, Munyati and Harare with coal.
Mr Mabvira said the mine had a capacity to produce 200 000 tonnes of coal a month.
He said a number of investments were planned at the mine which started production in 2012 after a failure by HCCL to meet demand for coal especially for the Hwange Power Station.
Mr Mabvira said a third crusher would soon be installed together with a coal washing plant.
He said the washing plant would enable the mine to sell coal to companies especially in the beverage and food industry who preferred clean coal.
“By the third quarter, the washing plant should be running.”
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