Sinazongwe District Commissioner (DC) Oliver Pelete has said the sale of the Maamba Collieries Limited (MCL) to NAVA Bharat has cheered Sinazongwe residents and the miners.
Mr. Pelete said the sale of the coal mine has come at the right time when government had made several attempts to find an equity partner to buy the company.
He said it was difficult to for government to finds a suitable equity partner because of the mine’s liabilities.
He said the MCL’s operations were grounded to a halt when Oriental Quarry the company contracted to mine coal on behalf of the mine decided to pull out as a result of the company’s failure to pay the contractor for the supply of unprocessed coal.
“This action brought a lot of anxiety among the miners and thought that the mine will be shut down and the action by management to send the workers on recess for more than one month created further anxiety,” Mr. Pelete noted.
The DC noted that Finance and National Planning Minister Dr. Situmbeko Musokotwane’s announcement that MCL has finally been sold has excited the miners especially that their welfare would be taken into consideration in the sales agreement.
Mr. Pelete noted that the community that has been dependent on the mine for their survival hopes that the economy of Sinazongwe District would be put back on track once the equity partner starts operating as planned in March 2010.
He said the setting of up a thermal plant to generate electricity using coal would create employment among the community.
Mr. Pelete noted that the investor intends to produce 300 mega watts of electricity once the thermal plant was completed.
Mine has been experiencing operational problems for a decade now, owing to the dilapidated equipment and management problems.
ZANIS