HWANGE Colliery Company Limited (HCCL) is seeking bidders who supply underground mining equipment on seller’s credit to enable the coal and coke miner to ramp up coking coal production to 60 000 tonnes per month.
BY OUR STAFF REPORTER
In a notice yesterday, the Zimbabwe Stock Exchange—listed firm said it was currently operating a one continuous miners section at its Main Underground Mine and wants to scale up its underground coking coal production to 60 000 tonnes per month section.
“Hwange Colliery intends to fulfill coking coal opportunities within the region and other international export markets,” it said.
HCCL said bidders “should demonstrate their financial and technical capability to provide the required equipment when submitting their expression of interest”.
HCCL is working on a target of monthly output of 450 000 tonnes by June, split between its own production and the contractor, Mota Engil.
Mota Engil was engaged last year to produce 200 000 tonnes of coal monthly. It began open cast mining in August. Mota Engil’s total output has reached 996 000 tonnes.
In a May 7, 2014 letter to shareholders, HCCL board chairman Farai Mutamangira said the company was targeting to produce at least 450 000 tonnes of coal per month.
- Chamisa under fire over US$120K donation
- Mavhunga puts DeMbare into Chibuku quarterfinals
- Pension funds bet on Cabora Bassa oilfields
- Councils defy govt fire tender directive
Keep Reading
“This will assure HCCL of a monthly turnover of not less than $18 million.
“At this level, and assuming costs are contained below $9 million a month, HCCL will have sufficient turnover and gross margin to not only grow the business but also, to service its legacy debt which currently stands at about $150 million,” Mutamangira said.
