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to handle exports from Mwanesi and Ripple Creek in Zimbabwe.

The iron ore slurry pipeline would transport iron ore slurry from Mwanesi in Chivhu and the Ripple Creek Mine (near Kwekwe) to be exported through Mozambique.
Firdhose Coovadia, Essar director for Africa and the Middle East, revealed details for the Beira terminal at the Africa Iron Ore Conference in Cape Town, South Africa, last week.

The iron ore slurry pipeline could become the biggest in the world ahead of Essar’s 396-kilometre-long pipeline from Germano Mines to the Hazira steel plant in Brazil.
Essar would also establish a 20-million-tonne coal export terminal in Beira.

But questions have already been asked about Essar’s sincerity to the revival of Ziscosteel, which also provided easy access to vast iron ore deposits.
The thrust of the Government regarding the exploitation of mineral resources has been on beneficiation, which has led to a ban on exports of unprocessed minerals. It, however, could not be established how the

Essar move would blend with the Government policy.
Essar has other global steel operations requiring iron ore feed from elsewhere.

It recently confirmed discussions with Government over plans to construct an iron ore export slurry pipeline linking Zimbabwe and Mozambique.
“Some of the plans we have are firm, but others are non-firm,” Mr Coovadia told Herald Business in a recent interview.

The Indian firm gained a 54 percent stake in Ziscosteel after acquiring part of Government’s shareholding in the dormant steel manufacturing giant.
Essar holds an 80 percent stake in the Buchwa Iron Mining Company (BIMCO), which holds the majority of the known iron ore deposits in Zimbabwe.

The Indian group assumed a controlling interest in Zisco in what is expected to result in a US$750 million investment towards the revival of the firm.
The takeover will relieve the Government of foreign debts of US$240 million and salary-related arrears of US$22 million.

Essar also pledged US$10 million to support youth and small and medium enterprises. Half of the amount has already been released to Treasury.
But the company’s biggest obligation would be the revival of Ziscosteel, which has installed capacity for up to a million tonnes of steel output per year. The firm recently said it plans to raise capacity to 2,5 million tonnes.

Efforts to revive Zisco had flopped a number of times. But Essar have brightened prospects with a plan that would create thousands more jobs for the country.
The revival of Zisco would also give impetus to Government’s efforts for re-industrialisation after a decade of hyperinflation and economic instability.
Essar will also invest in key enablers such as the National Railways of Zimbabwe and Zesa Holdings to ensure uninterrupted production of steel.