President Emmerson Mnangagwa is set to visit Beitbridge today for the groundbreaking ceremony of the Palm River Energy and Metallurgical Special Economic Zone (SEZ), a multi-billion-dollar project aimed at boosting Zimbabwe’s mining and energy sectors.
Developed in collaboration with a Chinese mining company, the US$3.6 billion industrial park will be located 20 km west of Beitbridge town and is expected to revolutionise stainless steel production in the country.
Economic Impact and Employment Prospects
Already, the initiative has created 400 local jobs in its first year, with projections to employ over 2,000 workers when fully operational. This integrated mining and energy hub is a result of negotiations between Palm River Energy chairman, Mr. Xong Xi Dong, and President Mnangagwa, underscoring Zimbabwe’s push for industrial expansion.
Spanning 5,163 hectares within an SEZ, the project is expected to make a significant contribution to the country’s economic growth by strengthening foreign direct investment (FDI), increasing export revenue, and creating downstream business opportunities.
Project Scope and Infrastructure
The industrial park is being developed as a joint venture involving the government, Xintai Resources, and Tuli Coal. The first phase, requiring US$237 million, is scheduled to be completed within two years and will focus on producing 200,000 tonnes of ferrochrome annually alongside supporting infrastructure such as coal mines and coking plants.
Once fully developed, the park will feature:
- A coking plant capable of producing one million tonnes of coke annually.
- A ferrochrome smelting plant is expected to yield 100,000 tonnes of high-carbon ferrochrome per year.
- A 1,200 MW coal-fired thermal power plant, with surplus electricity feeding into the national grid.
- Facilities supporting stainless steel production, castings, and special steel manufacturing.
Coal for the project will be sourced from Tuli Coal Mine, with plans in place to export coal products and generate foreign currency earnings.
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Government’s Vision for SEZs
Deputy Director for Communications in the Ministry of Mines and Mining Development, Mr. Wilfred Munetsi, confirmed preparations for President Mnangagwa’s visit, stating that construction of the first phase will span two years, with the entire project expected to be completed over 12 years.
“The SEZ will be the world’s most competitive and cost-effective energy and metallurgical hub, leveraging sustainable practices such as energy recycling, green power generation, and waste heat utilisation,” said Munetsi.
Beyond job creation, the project will also provide technical training to Zimbabwean workers, enhancing skills transfer and workforce development.
Beitbridge’s Role as an SEZ
Since 2018, when President Mnangagwa designated Beitbridge as a Special Economic Zone, the government has actively promoted investment in the region. The SEZ model is expected to attract more FDI, improve local industries, and contribute to employment creation and economic growth in Zimbabwe.
With the launch of this major project, Zimbabwe takes another step forward in its “Zimbabwe is Open for Business” drive, positioning itself as a key player in the global energy and mining industries.
