adminAbigail Mawonde Herald Correspondent
Steelmakers yesterday said plans were underway to resume production at its Sponge Iron and Mining Beneficiation Industries, popularly known as SIMBI Pvt Ltd in Masvingo, three years after the plant was placed under care and maintenance.
Steelmakers head of finance and company secretary Mr Lewis Karowangoma confirmed the development to The Herald yesterday.
“The facts are that plans are currently underway to resume production at SIMBI Masvingo,” he said.
“The plant has been under care and maintenance for the past three years, hence necessary repairs and testing had to be carried out before production commences.
“Unfortunately, one critical component, which ensures supply of power to the plant was malfunctioning and so it had to be removed and repaired before ZESA could certify and reconnect power. The unit has now been repaired and installed and power has since been connected.”
Mr Karowangoma said mobilisation of key raw materials was underway and they anticipated commencement of operations in a few weeks.
He said the resumption of production at the company would present the province and country with a number of opportunities.
“The resumption of production will contribute immensely to Masvingo town and indeed the country at large,” said Mr Karowangoma.
“The company will generate the much needed foreign currency as approximately 80 percent of its products will be exported and the production process generating over 80 percent value addition to local basic raw materials.
“There will also be other downstream benefits in various industries.”
The plant had been closed since 2015 due to the fall in prices on the international market.
Online Reporter