Zimbabwe: Hwange Colliery Seeks US$2m

Source from:  The Herald (Harare) 4 January 2008 01/07/2008

Coal deliveries to Hwange Power Station have been adversely affected since December following the breakdown of the dragline used in mining at the JKL Open Cast Mine, Hwange Colliery Company Limited spokesman Mr Burzil Dube said yesterday. He said production at the mine slumped last month as a result of the breakdown and the situation would remain so for the next three months. The colliery is seeking more than US$2 million to repair the dragline -- one of the major machines used in open cast mining. In a statement yesterday, Mr Dube said the money would be used to carry out a complete overhaul on the machinery that has not been working since November. "During the month of December 2007 coal deliveries to Hwange Power Station from the JKL Opencast Mine were adversely affected by the dragline that was on breakdown due to generator failure. "The dragline is likely to be inactive the whole of February and March when it undergoes a full and comprehensive service that is long overdue. More than US$2 million is needed for the service," he said. Mr Dube said contingent measures had been put in place to cover for the lost production through mining of coal from Chaba Opencast Mine by truck and shovel. He said despite the breakdown of the dragline, HCCL was seeking to increase coal supplies to Hwange Thermal Power Station as soon as one of its units is back in operation following refurbishment by the Nampower. An average of 25 000 tonnes is delivered to the station on a weekly basis. Hwange Thermal Power Station is the major consumer of coal, taking more than 70 percent of all the coal mined at HCCL. Mr Dube said his company, as a way of complementing Government efforts of making this year "The Mother of All Agriculture Seasons", would prioritise coal deliveries to tobacco farmers whose curing season had already started. "An average 1 600 tonnes is expected to be dispatched on a weekly basis to the farmers," he said. He said the company, however, continued to struggle with depressed revenues due to low prices being charged against spiralling costs. HCCL, said Mr Dube, had forwarded a request for a price review to the National Incomes and Pricing Com-mission, which was now under consideration. He said HCCL had re-oriented its marketing drive to meet the needs and expectations of industry in general. "There will also be added focus on export potential in order to generate foreign currency needed to support maintenance programmes," he said. Enditem