US$1bn steel plant near Mvuma now 25pc complete Dr Joram Gumbo

Patrick Chitumba, Midlands Bureau Chief
THE $1 billion Iron and Steel plant being set up by Dinson Iron and Steel Company (Disco) in Manhize area near Mvuma is now 25 percent complete with all the material to complete the first phase of the plant now on the ground.

The furnaces, worth millions of US dollars, arrived at the plant on Tuesday after months of shipment from China via Durban, South Africa.

Money

All the equipment being installed is brand new and the investor is set to seed more capital equipment after the project was granted national project status this year.

The granting of the project status saw it being included in the Government’s 100-day priority projects, with the Minister of State in President’s Office in charge of Implementation and Monitoring, Dr Joram Gumbo, assessing progress at the plant yesterday.

The Manhize Steel plant, which is being set by Disco a subsidiary of the giant steel producer, Tsingshan Holdings Group, will be Africa’s biggest iron and steel producing plant.

The setting of the plant will also culminate in the establishment of a new town in Manhize.

Briefing Dr Gumbo after a tour of the plant yesterday, Disco senior manager, Mr Bai Johnson said all critical equipment to complete the first phase of the plant was now on the ground, thanks to Government facilitation in the importation process.

On Tuesday, some blast furnace components worth millions of dollars arrived at the plant much to the cheer from the villagers from the surrounding community who are excited by the development tanking place in the area.

Mr Johnson said more equipment, which would require more than 100 abnormal trucks to ferry them was now at the Durban port.

“We are now 25 percent complete in terms of the construction works of the first phase but all the material and equipment is now on the ground.

“We have already completed administration blocks, the platforms for the blast furnaces are already in place and everything is moving according to plan,” he said.

Mr Joram Gumbo

Mr Johnson said the plant has huge ore reserves that will take the mine’s lifetime beyond 200 years with the potential to produce 1,2 million tons of iron and steel per annum.

“This is a huge investment, which will take up to $1 billion to complete and already we have employed over 600 workers most of whom are locals.

“When complete we will be producing around 1,2 million tons of steel with a workforce of around 3 000,” he said.

Mr Johnson said apart from constructing a separate power line from over 100km from the site, the company was also constructing a railway line from Manhize area to connect to Masvingo in preparation for exports through the Mozambique border.

“We are working overtime to beat our targets and by early next year we will be operating,” he said.

Dr Gombo said he was impressed by the progress he noted at the site adding that Government would do everything within its means to assist the investor.

Zimbabwe Iron and Steel Company

“This is a huge investment and we are happy with what we have witnessed in terms of progress and commitment to invest under the Second Republic,” he said.

Dr Gumbo said the country has been losing millions of dollars through imports of steel since the demise of Zimbabwe Iron and Steel Company (Zisco) hence the coming in of the Disco was good news.

“In recent years, we have also experienced a lot of job losses in the steel industry but steel is an enabler to every aspect of the economy. We are happy that a giant in the steel industry is emerging,” he said.

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