SHANGHAI, Nov 25 (SMM) – After the Zimbabwe Environmental Administration (EMA) approved Dingsen Steel to start operations, Mvuma, the largest steel company in the region, is ready for the trial operation.
Dingsen Steel is a subsidiary of Tsingshan Group. Once it starts operations, it will become the largest steel manufacturer in SADC. It is expected that the turnover of its processing plants and mines will reach $1.5 billion next year.
The project has a 1.5 km * 600 m steel plant, an iron mine, and a ferrochrome plant with an annual production capacity of 1.2 million mt. At the same time, the value chain will provide 4,000-5,000 job opportunities.
"Dingsen has promised to provide funds in advance for the construction of this line in case Zesa is unable to do so. In addition, we are finalising the transmission connection agreement with them.
Electricity is the core of our operations, and we are investing a lot of money in order to put it into operation by December 2022," the company said in a statement.
After obtaining the 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 the result of EIA showed that only 6 families will be affected by the operation, who will lose part of the farmland with an area of no more than 2 hectares.
This is a sparsely populated agricultural area.
"We signed a memorandum of understanding with these families to compensate them for their losses.
In general, this community is happy with the investment because it will modernise the area, bringing jobs, development and new facilities as well as infrastructure such as roads, electricity and water to them. "