Zim coke exports rake in $50 million

Business Editor
ZIMBABWE exported 207,000 tonnes of coke in 2014 — raking in close to $50 million revenue, a top government official said.

Coke – a by-product of coal – is a key ingredient in steel manufacturing sectors across the globe.

Zimbabwe is a giant regionally in the production of coal and coke riding on increased output following the entrance of new players in the past few years who now compete with the long established Hwange Colliery Company Limited (HCCL).

Speaking during a question and answer session in Parliament last Wednesday, Mines and Mining Development Deputy Minister Fred Moyo, said the country was producing enough coal and coke for domestic consumption.

“In 2014, coke exports amounted to 207,000 tonnes at a value of $49.5 million dollars,” Moyo said.

Zimbabwe supplies coke to regional markets such as South Africa, Zambia and the Democratic Republic of Congo (DRC).

The Deputy Minister was responding to a question from MDC MP Gift Chimanikire who had asked what tonnage of coal has been used domestically in 2014 for power generation at various stations, treatment of tobacco and export of value added coke.

Moyo said 2,598,000 tonnes of coal were used for power generation in the year 2014.

He said Hwange Power Station, the largest power plant in the country, consumed two million tonnes of coal followed by Harare Thermal, which used 288,000 tonnes.

Munyati Thermal Power Station used 170,000 tonnes while the Bulawayo Power Station used 140,000 tonnes, said Moyo.

He could not disclose the tonnage of coal used in the treatment of tobacco saying his ministry was still working towards consolidating the usage figures.

“Generally, coal produced in Zimbabwe is sufficient for local requirements. However, honourable members should note that in some few cases, certain coal users import coal particularly for metallurgical and agricultural purposes where local production doesn’t meet the required technical specifications or cost.

“Recently, some coal has been imported from Botswana,” Moyo said.

HCCL and Makomo Resources are the major coal producing firms in Zimbabwe and generate the bulk of their revenue from coke sales.

Hopes are high that the recent $32 million recapitalisation of Hwange Colliery would further boost output and increase earnings for the listed company.