PART of the $18,2 million worth of equipment from Belarus secured through PTA Bank under the Belaz facility has started arriving at the Hwange Colliery Company (HCC), as part of turning around the company’s dwindling fortunes.
Tinashe Mungazi Own Correspondent
The equipment worth $18,2 million consists of 10×130 tonne dumps, five front-end loaders and two dozers. The first batch arriving from Durban, South Africa, on Monday and the rest is expected within 10 days.
The first batch consignment comes after the company secured funding under the vendor-finance scheme through the PTA Bank-funded $18,2 million Belaz facility.
The second batch, worth $13 million sourced through India Exim Bank under the BEML facility — among them excavators, front-end loaders, drill rigs and bull dozers — are expected in Hwange by April following their shipment to Durban.
HCC managing director Thomas Makore confirmed the delivery saying it would go a long way in boosting production levels by more than 100% to around 450 000 tonnes from the present 200 000 tonnes.
“Our first batch of equipment under the Belarus arrangement has started arriving at the mine. We are confident that production levels are going to be boosted as a result of these recapitalisation initiatives that we have embarked on as Hwange Colliery,” he said.
Makore said full delivery would be made within 10 days as they were about 53 haulage trucks sourced to transport the machinery from the South African port to Hwange.
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The company, which is reeling from debt, has come up with a cocktail of initiatives to raise revenue and capitalise operations, among them exploration of coal bed methane gas for power generation, plasma gasification and converting coal to liquids such as diesel.
Makore said in the wake of demand for coking coal by local and regional markets, the company had entered into coking arrangements with South Mining and Hwange Coal Gasification Company in order to maintain supply of coke to the market.
HCC recently appealed to the government for more concessions after raising concerns over the rate at which reserves were depleting due to the latest mining technology.
Reserves left have a lifespan of less than 30 years.
Last year, the company, whose efforts to improve production levels had been hampered by ageing equipment, engaged services of Portuguese contractor Mota Engil, to work on its mining operations at Chaba.
