Manhize steel plant roars to life, commences pig iron production

THE blast furnace at the massive US$1,5 billion Dinson Iron and Steel Company (Disco) plant in Manhize, Midlands Province, roared to life on Wednesday afternoon, marking the commencement of pig iron production following the successful completion of test-runs.

The milestone development has ignited a spark of hope for Zimbabwe’s industrial revival drive, a confirmation of the Second Republic’s commitment to transforming the economy in line with the ambitious roadmap towards a prosperous upper middle-income status earlier than 2030.

Pig iron, the initial product of the blast furnace, serves as the foundation for further steel production with Disco aiming to commence steel billet production in July, a vital raw material for various industrial applications.

“Today marks a monumental milestone as our cast iron machine produces its very first batch of pig iron,” said Disco in a public update shared on its X (formerly twitter account).

“Great news! The billet will be produced in July.”
Commenting on the development, Zimbabwe Institute of Foundries chief operations officer, Mr Dosman Mangisi, said the commencement of pig iron production at Manhize was a huge milestone.

“We are excited with the news that they have started pig iron production this week. Pig iron, also known as crude iron, is an intermediate good used by the iron industry in the production of steel and we are happy that Disco has started making the product. It is developed by smelting iron ore in a blast furnace,” he said.

Mr Mangisi said the positive development is an indicator that the country is achieving set strategic goals towards the resuscitation of the economy.
“As a country, we can now start counting our steps to becoming a steel giant player in the region and at the continent level,” he said.

The colossal Manhize steel plant, spearheaded by Disco, a subsidiary of Tsingshan Holdings Group Limited, is poised to transform Zimbabwe into a continental steel giant.

Disco is not new to the game. The company already owns Dinson Colliery (providing coal) and Afrochine Smelting Limited (producing ferrochrome), solidifying its grip on the steel production chain. The integrated approach positions Zimbabwe to compete with global leaders in steel manufacturing.

The initial phase of production promises an impressive 600 00 metric tonnes of steel products annually. This number is projected to skyrocket to a staggering five million tonnes per year in the final phase, generating significant foreign currency for the nation.

But Disco’s impact extends far beyond tonnage. The future holds a diverse product portfolio, including pipes, bolts, wires and more, catering to a wide range of industrial needs. The economic benefits are further amplified by projected net revenues reaching a staggering US$4,25 billion in the final production phase.

Job creation is another exciting prospect, which expects to employ a staggering 10 000 people at peak production, offering a much-needed boost to Zimbabwe’s workforce.

A crucial partnership with the Government will see the refurbishment and construction of a 1 000km dedicated railway line linking the steel plant with export markets. This vital infrastructure will ensure efficient transportation of Disco’s products for both local and export markets.

The Manhize plant is not just about steel but infrastructure development as well. The project will see the creation of road and rail networks, alongside a dam to provide water for various purposes. This aligns perfectly with the Government’s vision of stimulating production across all sectors and propelling Zimbabwe towards an upper middle-income economy by 2030.