GWERU-Gweru based JINANI mining company will next year increase its monthly ferro-chrome output, as it aims to positively impact the economy at large.
JINAN Corporation and its subsidiary smelting firm Almid, has invested heavily in the ferro-chrome smelting, mining exploration and expansion in the Midlands Province as a show of confidence in the economy.
The giant firm is currently producing US$3.5 million worth of ferrochrome every month and expecting “to increase its monthly output production to 4000 tonnes per month from the current 3200 tonnes”.
The increased production will be contributed by the low carbon furnace number 4 which is expected to be commissioned and start ticking in January next year.
Resultantly, the smelting firm will also increase its workmanship to 550, a boost for local communities searching for jobs.
JINAN Executive Finance Officer, Sam Shen said the mining firm has also been contributing immensely in sustaining the nation with the much needed foreign currency.
“We have helped Zimbabwe to get foreign currency as you know that we export ferrochrome to Europe, South Africa and China,” he said.
The subsector is expected to play a pivotal role in the attainment of the US$12 billion mining economy, with ferro-chrome and carbon steel contributing US$1 billion.
Shen added that on the environmental front, the company is complying with the Environmental Management Agency (EMA) regulations.
“EMA visit our offices every month to check on environmental compliance and with their help we are able to control our furnace smoking as per the authority requirements,” he said.
In addition, “We have also plans to roll out tree planting in the whole city as well as the company vicinity so that we block the dirty air and combat emission to residential areas,” said the JINAN Finance Executive Officer.
The carbon emission reduction strategy by ferrochrome smelting Company is in line with Zimbabwe government’s agenda to reduce emissions by 33 percent per capita in the energy sector by 2030.
Corporate social responsibility
JINAN and Almid have for the past 9 years taken interest in supporting the vulnerable communities and young people who want to further their education.
“In Mkoba at Bumburwi Primary School, a total of 20 learners are benefiting from the company’s fees payment every year since 2014. We also provided the school and learners with stationery as well as supporting their wellness and annual activities.
“Furthermore, an average of 15 students from the Midlands State University also benefited fees payments from the company every year,” added Shen.
However, confluence of global and local factors has been affecting the Ferro-chrome sector.
The Zimbabwe mining sub-sector has been compounded by high electricity costs and international depressed chrome prices are affecting its viability.
“The chrome smelters are facing the challenge of electricity tariffs that was increased from 6.7 cents to 12.21 cents and this is our main cost.
“The other challenge is the chrome oil and fuel prizing, as well as the prize of raw chrome which was doubled from US$45 per tonne to between US$95 and US$100 per tone,” added Shen.
Zimbabwe boasts of second-largest high-grade chromium ore reserves in the world, with 10 billion tonnes.
A recent survey by the Chamber of Mines of Zimbabwe (CoMZ) projected 7% employment increase in 2024.
The report further revealed that the Chinese firm has spend millions of united states dollars on power plant, transport infrastructure, furnaces, and sintering plants, with the aim to increase production capacity by more than 20% next year.