Colliery acquires coal extraction machine
HWANGE Colliery Company Limited (HCCL) has secured a coal extraction machine, one of the critical pieces of equipment the miner requires for its underground mining operations.
The colliery, which recently experienced viability challenges, ceased underground mining operations two years ago.
In a statement, HCCL managing director Engineer Thomas Makore said delivery of the coal extraction machine (CM) was a major milestone in the firm’s continued efforts to boost underground mining operations.
“The strategic turnaround of HCCL continues and is gathering momentum with the coal mining giant receiving one of the key machines for its underground mining operations.
“The equipment was delivered at the mine on Sunday, August 13, 2017,” he said.
Delivery of the other machines expected in the next six weeks.
“Barring any delays, production is expected to commence in the last quarter of the year.
“Underground mining operations will enhance the product mix offering of Hwange Colliery, thereby improving the overall profitability and quality of the revenue,” said Eng Makore, adding that underground mining was where the colliery produces high value coking coal.
“So, it (CM) will be a good addition to our product mix.
“It will improve ou r is profitability and add to our volumes,” he said.
HCCL’s export quality coking coal would contribute to the company’s foreign currency revenues.
The firm’s turnaround strategy is anchored on increasing production and sales as it takes advantage of the recently approved scheme of arrangement.
The company will continue to make sure that it turns its fortunes around and builds on its rich legacy of successful and sustainable operations for over 115 years.
Recently the coal miner selected a European company to conduct exploration and drilling at its new concession in Western Areas in Hwange.
Eng Makore revealed that HCCL has finished the selection process and was finalising the contract.
The new concessions have an estimated underground resource of one billion tonnes according to preliminary reports.
In April, HCCL, once the country’s largest coal producers announced that it had signed two 25-year coal supply agreements with the Zimbabwe Power Company and Lusulu Power, an independent power producer in Matabeleland South. The agreements were part of the initiatives to support and sustain the colliery’s turnaround strategy.
The new concessions, which are expected to prolong the lifespan of Hwange by 50-70 years have an estimated resource of about 750 million tonnes of mainly coking coal and thermal
coal.