THE US$3,6 billion-funded Palm River Energy Metallurgical Special Economic Zone project in Beitbridge has a potential to transform the Matabeleland region's economy, Mines and Mining Development minister Winston Chitando has said.
The project, which would see the ultimate production of stainless steel, will be constructed in three phases including a 1 200MW green power project comprehensive utilisation power generation and supporting facilities.
Speaking during the tour of the facility recently, Chitando said the project was a testament to the success of the government's “Zimbabwe Open for Business” mantra.
He said the project is expected to create jobs, boost the country’s GDP, while promoting sustainable development.
“The implementation of this project was preceded by meetings between the chairman of the company and His Excellency, the President, who then directed that the project be implemented as an integrated mining and energy park.
“The project has 5 100 hectares, which are part of a special economic zone, the first step in the implementation of the project was a joint venture between the government of Zimbabwe through the Reserve Bank of Zimbabwe and Xintai Industrial Group for the development of Tuli Coal, which is a key provider of input into the cork value addition chain which is taking place in this special economic zone,” Chitando said.
There are three main stages to the project, beginning with thermal power the generation resulting in the production of 50 megawatts of electricity.
The second project component is the coke production, which is being carried out as part of a value addition programme, where Tuli Coal and Hwange will supply some of the feedstock for the coke production.
The third phase would involve the production of high carbon ferrochrome, of which 100 000 tonnes are currently produced with plans to increase the production of high carbon ferrochrome.
Chitando also commended the project for its commitment to environmental responsibility, particularly its adoption of closed-arc furnaces for ferrochrome production.
““The nature of the closed arc furnaces which they will be introducing, and this is that they will use some of the gas, instead of emissions which are going into the atmosphere, they will use the gases to go and help in the production of electricity.
“That’s really a first in Zimbabwe and we are thankful for the introduction of environmentally friendly technology in the high carbon ferrochrome sector.
“We would also like at the same time to urge the other high carbon ferrochrome producers to say please can you lend to a new entrance and produce more environmentally friendly technology,” he said.
Matabeleland South Provincial Affairs and Devolution minister Evelyn Ndlovu said the launch of the plant would help the province to contribute more to the national GDP.
“We are one of the provinces that have got a very low GDP contribution, and the introduction of this plant by His Excellency, the President of Zimbabwe, will assist us as a province to improve in terms of contribution to GDP of this country.
“We are also very happy that this plant will also create jobs for our people, the majority of our young people have gone to South Africa and Botswana, to look for jobs.
“This is a great opportunity for us to get our young people employed, especially those from the rural Beitbridge West.”
Palm River project general manager Bai said they would employ more than 1 000 local people.
He said they had also partnered the Harare Polytechnic to train students for the project.