HARARE – World’s top producer of nickel and stainless steel Tsingshan Holdings Group’s local unit Afrochine will start construction on an iron ore mine and a carbon steelmaking plant in Zimbabwe in May this year.
This announcement by Zimbabwe’s information minister comes three years after the firm first announced the investment deal, worth a $1 billion in June 2018.
The steel plant will have a 2 million tonne-per-annum production capacity. Tsingshan already produces ferrochrome in the country, which is used in the production of stainless steel.
“The ground breaking ceremony for the iron ore mine and carbon steel plant is scheduled for May 2021 in Manhize, Mvuma (near Harare)” Information Minister Monica Mutsvangwa said in a release.
The Chinese company has been carrying out exploration and seeking more mineral concessions. Tsingshan also intends to build a power station and had been granted a lithium concession.
China has become a major foreign investor in Zimbabwe over the past few years, involved mainly in mining of diamonds, gold, chrome and building power stations.