Home » General » Low Feedstock Supplies Affect Afrochine

CHROME smelter, Afrochine says it is utilising less than 25 percent of its installed production capacity due to low supplies of feedstock. The company has smelting capacity of 15 000 tonnes per month, but is currently receiving 3 000 tonnes, significantly lower than what it requires to fully operate. Afrochine representative in Zimbabwe Mr Benson Xu Kemin said the feedstock supplied by small-scale miners was not enough to meet the company’s smelting capacity.

“There are two types of chrome that are supplied to us – fines and lumpy chrome mainly by small-scale miners, but this has not been enough to adequately feed our furnaces.

“Afrochine requires 15 000 tonnes of chrome per month and more feedstock is required,” he said.

Afrochine is a subsidiary of Tsingshan Iron and Steel Group of China, the second largest stainless steel producer in the Asian country.

Last year, the company commissioned its $25 million smelting plant under phase one.

It is courting external financiers to raise $100 million for building additional furnaces at its Selous smelting plant.

Mr Kemin said its phase two project was still awaiting funding and the project was in line with the company’s aim to become the biggest chrome player in the country.

Afrochine also plans to start refurbishments and upgrading of the country’s dilapidated rail network. But this is subject to Government approval.

Zimbabwe requires about $4 billion for the complete revamp of the rail network.

The company also has plans to set up a power generating plant to cushion itself from power cuts.

The electricity generating plant will have the capacity to generate 600-1 000 megawatts.

Source : The Herald