Investmentstimulus

China’s funding injection accelerates the upgrading of industrial cooperation with Africa

Limpopo province in the far north of South Africa takes its name from the mighty Limpopo River, which forms the natural border with Zimbabwe. It is a region teeming with wildlife, and bountiful historical and cultural treasures, along with spectacular scenery.

Now the province, and its northern-most town, Musina, are on the verge of bigger things.

Shenzhen Hoi Mor Resources Holdings Ltd., a Chinese company specialized in mineral beneficiation, will invest more than $3.8 billion to establish an energy and metallurgical industrial cluster in the Musina Special Economic Zone (SEZ).

Richard Zitha, Project Executive of the Musina SEZ under Limpopo Economic Development Agency, is pleased with the positive outcome of his recent trip to China, where he signed a cooperation agreement with Shenzhen Hoi Mor Resources at the Seminar on Chinaafrica Business Cooperation on July 28, 2016 in Beijing.

“This cluster provides a golden opportunity for our skills upgrading and technology transfer and has demonstration effects,” he told Chinafrica. “These dynamic effects have the potential to contribute further to regional development, especially in the long term.”

According to Ning Yihai, Chairman of Shenzhen Hoi Mor Resources, the cluster consists of around 10 projects including a power plant, a coking plant, a ferrochrome plant, a steel plant and a stainless steel plant. He noted that a joint venture will be set up to develop and manage the cluster.

“The implementation of various projects over the next five years is expected to create more than 21,000 jobs,” he said. “Capacity building and skill development are the key areas we will focus on in our cooperation, and we will also increase value-added production.”