Zimbabwe Economic News: Chinese Firm Plans $2.1 Bln Power Plant, Zim Diamonds Not Delivering in Full Value

Chinese firm plans $2.1 bln power plant for Zimbabwe

China Africa Sunlight Energy said it plans to invest as much as $2.1 billion in Zimbabwe developing coal mines and building a 2 100-megawatt plant powered by the fuel to help ease electricity shortages.

The company, a venture between Old Stone Investments Ltd, a local firm, and Shandong Taishan Sunlight, will start with capacity to produce 300 megawatts by mid-2015 and raise this to 600 megawatts by the end of that year, General Manager Charles Mugari said.

The company has spent $20 mln on exploration, and was granted rights to look for coal and coal-bed methane in the Gwayi area in October 2012 - Daily News, Wednesday September 4

Report says Zimbabwe to lead diamond producers

Zimbabwe has the potential to become the world's top diamond producer should the gems be sold on an open market, a Canadian firm has reported. In its commentary on the diamonds sector, Kitco, a company that buys and sells precious metals, said nearly 60 diamond mining firms around the world, which include Zimbabwean ones at Marange fields, are this year expected to account for 84% of this year's projected global output of 130 million carats.

The balance (or 16%) of global production not included according to the commentary comes from small-scale operations, where production data is unreliable or not available at all. Experts say currently Zimbabwe's gems are being sold at below 25% of the normal price due to sanctions imposed by the United States and the European Union - NewsDay, Monday September 2

Boost for Zim power generation

The rehabilitation of Kariba South 7 and 8 power units is expected to commence after financial closure of the project by next month, Zimbabwe Energy Regulatory Authority CEO Gloria Magombo has said.

The Kariba South project is anticipated to produce an additional 300MW to the national grid to ease the country's power deficit - Standard, Sunday September 1