Zimbabwe Environmental Authority (EMA) approves new steel plant project in Castle Peak

After the Environmental Administration (EMA) approved mining company Dingsen Steel to start operation, Mvuma, the largest steel company in the region, was ready for trial operation.

Dingsen Steel, a subsidiary of Fortune-listed Aoyama Steel, will become SADC's largest steelmaker once it starts operations, with turnover of its processing plants and iron ore expected to reach $1.5 billion from next year.

The project, which has a 1.5km long steel plant, an iron ore plant and a ferrochrome plant, will have an annual capacity of 1.2 million tons and 4000 to 5000 people will benefit from jobs in the value chain.

Dingsen has promised to provide advance funding for the construction of this line in case Zesa does not have the ability to do so, and we are finalizing a transmission connection agreement with them. Electricity is at the core of our operations, and we are investing a lot of money to meet our schedule to be operational by December 2022, "a statement from the company said.

After obtaining EMA's environmental impact assessment (EIA), the company began to operate with the goal of eliminating any harmful effects on the environment and people.

"We are also pleased to report that we participated in the community during our EIA certification consultation and that only six families will be affected and lose part of their farmland covering an area of no more than 2 hectares. This is a sparsely populated agricultural area.

"We have signed memorandums of understanding with these families to compensate them for the losses they have suffered in our actions. Overall, the community is pleased with the investment because it will modernize the region, bringing jobs, development and new facilities, as well as infrastructure such as roads, electricity and water. "