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Midlands Correspondent
IRON and steel producer, Midlands Metals has embarked on a $1,5 million two-phased retooling exercise of its plant in Gweru.
Midlands Metals has already injected $600,000 for the delivery of a smelting plant, which is expected to be commissioned early next year.
The latest technology will see the company supplying 25 percent of platinum miners’ ball mill needs, which they are currently importing due to the poor quality of locally produced materials mainly due to antiquated technology.
Midlands Metals operations director, Tatenda Karimazondo told Chronicle Business that the initial phase will result in the company producing 500 tonnes of iron and steel products per month with production increasing to 2,000 tonnes by 2017 when the company commissions another plant.
He said: “We have just imported machinery from China to the tune of $600,000. The equipment is coming through in about three months’ time along with Chinese engineers who will help us commission the plant in January next year. We want this plant to be in place so that we supply the platinum industry, which has been importing ball mills because at the present moment there is no one with the technology to meet the quality standards wanted by these guys”.
“The initial phase of the commissioning will cost us at least $1 million and will see production increase to 500 tonnes monthly.
“We hope to have completed the second phase, which will push total investment to $1,5 million by the end of 2017, which will increase our production capacity to 2,000 tonnes of iron and steel products per month.”
The Midlands Metals boss said the investment comes as the company is trying to stay abreast with technology and shrug of competition from other local firms, which are also embracing new technology.
The iron and steel manufacturer is one of the few surviving industries in the Midlands capital and manufactures products for the mining, farming and construction industries.
Moves to recapitalise by local companies will go a long in reducing the import bill by local miners which have been importing most of their equipment.
Online Reporter