ZIMBABWE Mining and Smelting Company (ZIMASCO), the country's largest ferrochrome producer, is building a new 600 000 tonnes per annum sinter plant which is expected to boost output, it has been learnt.Sources with intimate knowledge of the company's expansion plans told the Financial Gazette's Companies & Markets that the plant, which is the latest technology in ferrochrome production, would cost between US$250 million and US$300 million.
It is understood that funding for the plant will be provided by Chinese majority shareholder, Sinosteel Corporation, which controls a 73 percent stake in the company.
ZIMASCO's spokesperson, Clara Sadomba, said she would not divulge details in the absence of the company's chief executive who was in China.
"Unfortunately, I can't officially comment on the developments because my CEO (Li Jinqian) is away on business in China but he is coming back after the second week of February," said Sadomba.
The plant, which will be built in Kwekwe, would process chrome fines into balls that can be processed by other existing blast furnaces.
Experts say the plant supplies the blast furnaces with sinter, which is a combination of blended chrome ores, fluxes and coke which is partially cooked. In this form, the materials combine efficiently in the furnace and allow for more consistent and controllable ore manufacture.
Research has shown that about 70 percent of the world's primary lead production is produced using the sinter plant-blast furnace combination.
With the sinter technology, ZIMASCO which has underground deposits of chrome ore in dust form which cannot be directly processed in a blast furnace would now be able to convert these ore fines into lump materials which can be processed in blast furnaces.
The sinter plant will also be environmentally friendly as it will have a de-dusting system that traps dust and toxic elements from the furnace to ensure that these are not released into the atmosphere and harm the environment.
Finance Minister, Patrick Chinamasa, said he expects chrome output to increase to 500 000 tonnes this year, benefiting from increased output at ZIMASCO.
