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The impasse over the re-negotiation of shares has stalled progress in resuscitating operations at the giant steel making company.
Under the deal, Essar Holdings took a 60 percent controlling stake in NewZim Steel (Pvt) Ltd, leaving the Government with 40 percent.
The Government also has a 20 percent stake in NewZim Minerals (Pvt) Ltd, formerly Buchwa Iron Mining Company (Bimco) while Essar Holdings owns 80 percent.
The Redcliff-based steel making firm reportedly suspended paying salaries to its more than 1 500 workforce in May in a bid to press Government to finalise the takeover agreement.
Its management was said to be reluctant to continue pumping more money into NewZim Steel, which is yet to iron out mining rights from Government.
In an interview yesterday, Prof Ncube said senior officials from Essar Africa Holdings Limited, who own a majority of shares in the company, would be in the country tomorrow or Thursday.
“The owners of Essar Holdings should be in the country this week to discuss this issue. They could be here on Wednesday or Thursday,” said Prof Ncube.
“The outstanding issue is the renegotiation of NewZim Steel shares. We have liaised with Minister Mpofu who has held discussions with Essar Holdings. Essar Holdings has said it is happy with the negotiations and so we are happy also that they are happy.”
Contacted for comment Dr Mpofu could not shed more light, saying Prof Ncube was the one responsible for the process.
“You can talk to Prof Ncube about that issue. He is the one who is handling the process and I cannot comment for now,” he said.
At some point Prof Ncube and Dr Mpofu traded accusations over delays in the resumption of operations at the steel company.
This prompted the Industry and Commerce Parliamentary Portfolio Committee to summon the two ministers to appear before it in May to explain what was stopping Essar Holdings from commencing operations.
The committee expressed concern over delays in resuming operations at NewZim Steel, saying the development was a betrayal to President Mugabe and the people of Zimbabwe.
It is now a year since the commissioning of NewZim Steel and not much has been done in terms of preparations to resume production.
The Redcliff-based company owes its workers about $12 million, a debt it assumed from the defunct Ziscosteel.
The company is reported to have spent millions of dollars in wages since March last year without production.
President Mugabe commissioned the $750 million NewZim Steel (Pvt) Ltd and NewZim Minerals (Pvt) Ltd deal last year in August.
The commissioning of the new steel making company, formerly Ziscosteel, rekindled hopes for the revival of the dormant giant steel plant, which has been idle since 2008 when it stopped production.
President Mugabe has said once operational, NewZim Steel was going to breathe life back into the surrounding communities of Redcliff, Kwekwe and Gweru.
The new company was expected to create more than 5 000 jobs in direct employment at both Redcliff and Chivhu projects.
Essar Holdings committed itself to retaining the defunct Ziscosteel’s 3 500 workers.
Online Reporter