BULAWAYO - Hwange Colliery Company Limited is close to sealing a US$30 million deal with a Namibian investor interested in its coal fines. In an interview, the HCCL Public Relations Manager, Burzil Dube, said negotiations were still in progress and should be tied up next monthThe Namibian investor already has subsidiaries operating locally. It is our hope that every outstanding issue will be agreed upon so that we can tie up the deal, he said.
According to Dube, the deal presented a huge opportunity to generate more revenue.
The deal is so important to the company. If it sails through it will definitely shore up our balance sheet and ensure that we are well positioned to serve the market, he said.
Dube said HCCL was shaping up for greater demand for its products anticipated as the countrys economy continues to recover The company already had more than 1, 5 million tonnes of coal fines at its disposal and was well positioned to meet any order.
A number of local companies have been buying the coal fines but their orders have not been as big as the Namibian deal, he said.
Meanwhile, HCCL managing director, Fred Moyo, said the company was close to securing a US$25 million loan from three South African banks. This could result in the company doubling its capacity inside the third quarter.
We have a lot to do to enhance performance of the mine and this loan coming from three different sources in South Africa would help us to enhance our capacity and eventually improve our supplies to domestic and our export markets, he told The Zimbabwean.
Post published in: Economy