The Sunday Mail
Zimbabwe will this week host the 35th edition of the International Chromium Development Association (ICDA) annual conference in the resort town of Victoria Falls. The conference’s coming to Zimbabwe could herald a new lease of life for the country’s underutilised chrome reserves at a time President Mnangagwa is pushing the “Zimbabwe is open for business” mantra. Our Business Reporter, Ishemunyoro Chingwere (IC) spoke to Mines and Mining Development Minister Winston Chitando (WC) on the significance of this conference to the Zimbabwean economy. The following are excerpts of the discussion.
IC: Thank you very much Minister for talking to us. Straight to the keys issues, briefly tell us about ICDA.
WC: The International Chromium Development Association was established in 1984 as a worldwide industry initiative representing chrome ore and ferrochrome producers, customers, financiers and entities in the value chain.
Its mission is to be an association that is relevant to its member, to promote and to provide support to the global chromium industry.
IC: Why should Zimbabwe concern itself with happenings in this sector, particularly at a global stage?
WC: Zimbabwe has a significant resource in the chromium sector, with the world’s second largest reserve of chrome.
The ICDA holds an annual conference and last year made a decision to hold the 2019 event in Zimbabwe. More than 200 international delegates from mining and related sectors will attend the conference which has been oversubscribed.
The conference will highlight the importance of Zimbabwe in the chromium industry and will provide an opportunity to promote Zimbabwe’s rich mineral resources and the opportunity for development and investment in Zimbabwe’s mining sector.
His Excellency the President of the Republic of Zimbabwe Cde E.D. Mnangagwa is scheduled to officially open the conference on May 8, at the Elephant Hills Resort in Victoria Falls.
IC: Minister, you say Zimbabwe has great potential in this sector, just how big is this “great potential”?
WC: Zimbabwe holds the world’s second largest chrome ore resource of 900 million tonnes at approximately 12 percent with South Africa leading the pack. Global resources are estimated at 7,5 billion tonnes. However, more exploration is required to upgrade the resource.
Based on 2018 statistics, Zimbabwe produced an estimated 1,358 million tonnes of ore, against the world total of 33,7 million tonnes. From those figures you can see that we accounted for 4 percent of global output.
IC: Can you please give us an overview of those undertaking chrome mining as well as its uses.
WC: Mining to extract lumpy ores is carried out in large part by semi-mechanised medium sized players and small-scale miners from open pit operations.
Friable ores and fines are largely processed via medium sized concentrator washing plants where material is upgraded. About 87 percent of chrome ore is used in stainless steel production.
IC: What is the country’s current contribution in the global chrome sector?
WC: Despite being a significant holder of global chromite resources, Zimbabwe’s contribution to total global production of chromite ore has been at best 5 percent.
Since 2001, Zimbabwean chrome ore output had been decreasing in line with decreasing output of ferrochrome.
Following the lifting of the ban on the export of chrome ore by the Government, chrome ore output has increased exponentially from the all-time low figure of 186 000 tonnes in 2015 to approximately 1,358 million tonnes in 2018. Total exports of chrome ore during 2018 are estimated at 739 000 tonnes.
IC: How about ferrochrome production?
WC: Zimbabwe ferrochrome production is largely low grade high carbon ferrochrome with typical chromium content of 52 to 60 percent.
With global output for 2018 at 14,32 million tonnes, Zimbabwe is contributing around 2,5 percent to global production.
There is huge potential for the country to increase its ferrochrome production. Zimbabwe had over the last few years been witnessing decreasing ferrochrome production.
While 2018 production of around 350 000 tonnes was significant for the country, new capacity being commissioned and planned for commissioning within the year could see a 20 percent increase of ferrochrome production capacity to 418 000 tonnes in 2019.
Most of the smelting technology in the country is old and there is need to invest in new technology, especially technology that can process fines.
Some of the producers have plans to install fines agglomeration technology so that they can take advantage of the chromite fines resource, which accounts for approximately over 40 percent of the country’s chromite ore resource. New technology will also improve smelting efficiencies and thereby improve viability of the industry.
IC: So what does the future hold for the sector?
WC: In the medium term,
further expansions will see Zimbabwe ferrochrome capacity increase to at least 956 000 tonnes by 2022.
Chrome ore production will need to increase in line with increasing capacity and carbon and stainless steel production, therefore there is need for significant investment in developing the mining capacity of the country from exploration through to production.
In line with Government’s vision for the country to achieve middle class status by 2030, Zimbabwe has a clear vision of seeing at least 2 million tonnes of carbon and stainless steel, of which one of the key ingredients is ferrochrome, being produced in the country within the next few years.
