Zim’s Hwange making strides with turnaround plans
JSE-listed Hwange Colliery Company achieved an improved financial performance for the half-year ended June 30.
The company’s principal activities include exploration for coal, as well as mining and processing the fossil fuel and the production of coke and related by-products in the north-western part of Zimbabwe.
Its revenue increased by 128% year-on-year to Z$69.8-million. It also posted a profit of Z$3.5-million, compared with the loss of Z$23-million reported for the first six months of 2018.
The company said last week its contract miner had stopped mining in December and resumed operations only in August. The company resumed opencast mining in March. As a result, production declined by 52% year-on-year to 39 4704 t for the interim period.
The company noted that it had achieved some improvements in the last three months of the interim period, owing to targeted interventions, which it would continue to pursue.
These included increasing production; stabilising the opencast mining operation and the underground mine operations; resuscitating the processing plants; acquiring its own coke oven battery while it continued takeover discussions with Hwange Coal Gasification Company; cost reductions; engaging contractors for pillar mining on the old M block underground mine operation; and improving efficiencies and competitiveness.
Looking ahead, the operating plan for the second half of the year will continue to focus on increased production and improved efficiencies. However, the increasing production requires the allocation of more funding to the company’s operation, which means it will have to focus on its core business of mining and reduce nonmining costs.
The company will explore options to deal with legacy debt, while the production of high-margin and high- value coking coal will be increased.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation















