Dinson Iron and Steel plant in Manhize Zimbabwe is nearing completion following reports that 80 percent of the power cables and electrical substations to provide power to the plant have already been completed. A subsidiary of China’s largest stainless steel manufacturer, Tsingshan Holdings Group Limited, Disco is constructing the US$1.5 billion integrated steel plant in Manhize, close to Mvuma.
Official timelines anticipate that the plant will be put into operation in August. Currently, 50% of the project is complete.
In a Public partnership signed last year, ZESA and Disco agreed that the former would construct a 100-kilometer electricity transmission line. The line would run from the Sherwood substation in Kwekwe to the steel plant.
What will power Dinson Iron and Steel plant in Manhize?
Two 175 MVA substations and a high voltage 330 KV power line are being constructed as part of the project to supply power to the Dinson Iron and Steel plant in Manhize.
According to ZESA general manager for stakeholder relations, communications, and welfare, Dr. George Manyaya, the construction of the high voltage power lines and substations is currently at an advanced stage. The manager said that the two partners (ZESA and Disco) recently saw 100% completion of the geological works.
He said that the design of the power lines as well as the substations are currently 80% complete. Also, he claimed that construction work is planned to start soon when the funding is finalized. Other activities that entail financing the construction are already at an advanced stage.
It is regarded as one of the key national strategic projects. Additionally, it would promote economic growth in Zimbabwe. The country was initially known as a regional iron and steel hub.
One of the transformational projects being executed under the Second Republic is the $1.5 billion Manhize project. The project is in line with President Mnangagwa’s economic development strategy. It also seeks to make Zimbabwe one of Africa’s largest producers of steel and iron products. The plant is expected to lower the country’s high steel import bill and improve exports. It is also expected to support downstream industries while creating employment.
Reported on December 15, 2021
Africa’s largest steel plant under construction in Zimbabwe
Africa’s largest steel plant is closer to being a reality after it has been revealed that the Zimbabwe Electricity Supply Authority (ZESA) has completed the construction of a 27-kilometer temporary power line to supply electricity to the Mvuma Steel Plant production company site, putting the wheels in motion for the establishment of Africa’s largest steel plant.
The temporary powerline will provide the necessary electricity while the permanent powerline, a 97-kilometer high-voltage power line from Sherwood to Kwekwe, is being built. Dinson Steel, a Chinese business, is building the steel mill.
Dinson, a subsidiary of Tsingshan Holdings, has been granted exclusive rights to build a new town between Mvuma, Chivhu, and Chirumanzu districts around its new facility. Dinson Steel spokeswoman Pardon Kufakunesu said ZESA had been crucial in delivering temporary necessities for the start of work, which included the construction of a shelter, during a recent inspection of the site by ZESA board members and top engineers.
Africa’s largest steel plant benefits
The Mvuma Steel Plants will be split into two locations, one in the Midlands for iron ore smelting and the other in Chikomba, Mashonaland East, for the majority of the mining and beneficiation. The facility is intended to employ 5,000 people and will be three times the defunct ZISCO Steel, formerly the continent’s largest.
According to ZESA Authority’s Holdings executive chairman Sydney Gata, this is a crucial national initiative, and the business is dedicated to seeing it through. It will be the country’s largest consumer project, requiring up to 500MW in the next two years, which is about a third of its current usage.
Gata reported that the business had finished all of the transmission system designs, including the line that will run from Sherwood near Kwekwe to feed the project’s two locations. This initiative is projected to provide the country with several economic and social benefits.
Reported on September 23, 2022
$1.55 billion Mvuma steel plant in Zimbabwe reaches 40% completion
The construction of the Mvuma steel plant in Zimbabwe is reportedly 40% complete. This was revealed by Dinson Iron and Steel Company (Disco), a Chinese stainless-steel company in charge of the $1.55 billion project.
The Mvuma steel plant construction is two months ahead of schedule, according to the project manager Wilfred Motsi. The facility is therefore expected to begin production in August of next year.
Power utility Zesa and the plant have already inked a power deal. Consequently, a powerline linking Zesa’s facility to the national grid will be constructed. This will be supported by US$55 million in loans from the Chinese firm provided as part of the deal.
For the construction of the powerline, Motsi said that preliminary work and designs were progressing as expected. According to him, the loan of $55M would cover the cost of the powerline as well as other necessary infrastructure.
Once operational the Mvuma steel plant will produce 1,200 metric tonnes of carbon steel.
Why the Chinese steel firm decided to set up the Mvuma steel plant
Zimbabwe imports 90% of its steel requirements. This is because of the failure of many steel companies in the past two decades, including Ziscosteel. Disco, therefore, saw opportunities in the southern African country.
Benson Xu, the company’s chief executive officer, recently stated that an explosion in infrastructure projects in Africa had fueled demand for steel products, which his company would be able to meet.
The market is enormous in Zimbabwe and even larger in Africa, where the construction and infrastructure development industries are booming, he claimed.
As a company, he said, they are unable to meet the local demand. He went on to say that the market and demand are huge because even in regional markets in China, where they are unable to meet their demands, their parent company needs millions of tonnes of steel.
Reported on October 26, 2022
Plans underway for the construction of the Dinson Iron & Steel manufacturing industrial park in Zimbabwe
A $1 billion Dinson Iron & Steel manufacturing industrial park in Zimbabwe is set for construction following a recently held groundbreaking ceremony. The ceremony was held by the project’s developer, Dinson Iron & Steel, in the Zimbabwean town of Mvuma.
The facility is expected to start operations in August of next year. When it is fully operational, the plant will be able to produce 1.2 million tonnes of steel annually. This will be done by exploiting the country’s abundant ore deposits.
The iron and steel manufacturing industrial park were praised by Emmerson Mnangagwa the president of Zimbabwe. He said that it is a “paradigm-shifting milestone” on the country’s pathway to industrialization. He declared that through the investment, Zimbabwe would be home to one of the continent’s biggest iron and steel manufacturing plants.
The region around the steel plant will also see the development of rail connections. The linkages will run from Zimbabwe to Mozambique to the Democratic Republic of the Congo. It will come along with roads, a hydroelectric dam, a power line, schools, clinics, and houses.
According to Chen Shang Song, chairman of Dinson, his group has invested about $500 million in Zimbabwe so far, with plans to eventually invest $3 billion.
The iron and steel manufacturing industrial park important to the country
For the country, the project is very important from both a political and economic perspective. If all goes according to plan, it will generate 10,000 jobs and reduce Zimbabwe’s dependence on imports for 90% of its steel.
The administration buildings, the blast furnace foundations, as well as the access roads, have all been completed so far.
The Dinson Iron and Steel Company is a subsidiary of the Tsingshan Holdings investment group. In addition to the steel plant, it has invested in the production of limestone and coke for the Mvuma plant.
Coal-to-coke processing has already commenced in Matabeleland North province’s Hwange area. Also, limestone mining commenced in Masvingo.