Essar Africa Holdings Limited (EAHL), privately held company of the Essar Group, confirmed having received official notification from the Government of Zimbabwe (GOZ) for its selection as the preferred bidder for revival of Zimbabwe Iron and Steel Company (ZISCO) by way of purchase of GOZ’s 60% equity interest and has been invited to finalise the terms and conditions to complete the transaction.
Essar Group’s current operations in Africa include oil and gas assets in Nigeria, Kenya and Madagascar, telecom assets in East Africa, BPO operations in South Africa and coal concessions in Mozambique.
ZISCO is an integrated steel company with an annual capacity of 1m tonnes engaged in manufacture of long products through BF/BOF process. ZISCO’s operations are situated in Redcliff with distribution centres in Bulawayo, Kwekwe and Harare. ZISCO derives raw material security through its subsidiary Buchwa Iron Mining Company (BIMCO) that owns and operates several iron ore mines and limestone quarries. ZISCO has been operating at low capacity levels for the last several years due to shortage of working capital, and funds for maintenance and modernisation of plant and equipment. As part of its proposal, Essar will invest in the revival and expansion of ZISCO and enhance its productivity by leveraging Essar’s expertise in the steel sector, ZISCO’s existing infrastructure and availability of key raw materials including coal and iron ore.
Firdhose Coovadia, Resident Director, Essar (Middle East & Africa) said: “We are delighted to have been selected as the preferred bidder for the revival of ZISCO. We believe ZISCO is well positioned to be a low cost steel producer that can meet the growing demands of the regional steel market and capitalise on the robust forecasted growth in sub Saharan Africa. We also recognise ZISCO as a vital and strategic asset for the Zimbabwean economy and Essar looks forward to making a meaningful contribution to the future development of Zimbabwe and its people.”
The Essar Group is a leading global steel producer on track to operating 14 MTPA steel capacity and has an excellent track record in successfully commissioning and operating greenfield and brownfield steelplants in different parts of the world including Canada, USA, UK, India and Indonesia.
ZISCO is an integrated steel company with an annual capacity of 1m tonnes engaged in manufacture of long products through BF/BOF process. ZISCO’s operations are situated in Redcliff with distribution centres in Bulawayo, Kwekwe and Harare. scarf suppliers , ladies wraps and shawls , wholesale shawl suppliers , velvet shawl , new york wholesale , elegant shawl , kashmiri shawls wholesalers , red shawl ZISCO derives raw material security through its subsidiary Buchwa Iron Mining Company (BIMCO) that owns and operates several iron ore mines and limestone quarries. ZISCO has been operating at low capacity levels for the last several years due to shortage of working capital, and funds for maintenance and modernisation of plant and equipment. As part of its proposal, Essar will invest in the revival and expansion of ZISCO and enhance its productivity by leveraging Essar’s expertise in the steel sector, ZISCO’s existing infrastructure and availability of key raw materials including coal and iron ore.
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