Thursday, July 9, 2009

Zimbabwe's Hwange Colliery Clinches Zambia Export Deal

Zimbabwe's Hwange Colliery Company has clinched deals worth US$5 million to export coal products to Zambian companies.

The deals were struck at the recent 45th edition of Zambia International Trade Fair held in the country’s second largest city, Ndola.

According to the company’s marketing manager Mr Charles Zhou, the mining giant will be supplying at least 1 000 tonnes per month of coke breeze to a copper smelting company, Eastern Union, for the next five years. Mr Zhou said the Colliery will also make monthly supplies of 500,000 tonnes of foundry coke to Ndola Foundries.

"Our challenge is now to ensure we produce enough so that we will be able to meet the demand," said Mr Zhou.

He said the Zambia trade fair has enhanced HCCL’s visibility as most companies were buying coal from middlemen.

"Although we had created a solid foundation, the middlemen had found space between us and the customers.

"Most coal customers were buying from middle men but this trade fair has given us an opportunity to directly engage our customers. It is very encouraging," he said.

Zambia and the DRC are the key export market for HCCL.

Hwange normally supplies an average of 10 000 tonnes of various coal products to Zambia.

But because of subdued copper prices, the company is supplying not more than 5 000 tonnes.

HCCL and Zeco Holdings were the only Zimbabwean companies that participated at Zambia International Trade Fair.

Source: The Herald, Zimbabwe

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