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Oliver Kazunga in Hwange—
ZIMBABWE’S second largest coal mining company, Makomo Resources, says it is now focused on expanding its market share beyond the borders following improved production after the installation of a $14 million coal washing plant in July this year. The Hwange-based firm began operations in 2010 with a production capacity of 5,000 tonnes of coal per month. That figure now stands at about 250,000 tonnes per month following the commissioning of two additional crushers.
Makomo Resources general manager Samson Mabvira told Business Chronicle yesterday the company had invested in a coal washing plant as national coal requirements were presently saturated.
“In 2010, we started with 5,000 tonnes of coal per month and we’ve been rising steadily ever since to a point last year where we were at 200,000 tonnes per month.
“At the moment our production capacity is at 250,000 tonnes, so we’re still way off our 300,000 tonnes target which we set out to achieve,” he said.
Mabvira said they were investing in a third crusher, which was being manufactured in South Africa and would see production capacity at the colliery improving to 300,000 tonnes per month.
He said when they started operations, Makomo’s major customer was the Zimbabwe Power Company which procured the coal for its Hwange Thermal Power Station.
“Our major customer at that time was ZPC Hwange. They were in dire straits as their stocks were 60,000 tonnes per month at that time. They raised their tonnage to about 300,000 tonnes per month by the end of last year.
“ZPC has asked us to scale down our supplies and when we started we knew there shall come a time when we’ll saturate the market. And on that standing, we went on and purchased a washing plant and got it online by July 22. Our intention was to have a lee-way to produce a product that we can market elsewhere,” said Mabvira.
“We’re now focusing on both local and export markets and we’re going beyond our borders to Zambia and South Africa. We’re looking for markets in the region and in conjunction with the Minerals Marketing Corporation of Zimbabwe we continue to look for markets. By the end of the year, we hope to have finalised the deal with customers.”
Mabvira said his company intends to export 90,000 tonnes of washed coal in the initial stages of the export deal.
Makomo Resources is jointly owned by local and foreign investors on a 60:40 share ratio respectively.
The mine also produces coal peas for small power stations, cobbles for tobacco farmers, rounds and nuts for the cement manufacturing industry.
Makomo is one of five private firms which were awarded special grants by government a few years ago to mine coal in Matabeleland North province.
Online Reporter