Published: 25 November 2013

Chinese company Afrochine, which recently constructed a chrome smelting plant in Selous, is planning to build a multi-million dollar electricity generation plant in the area to ensure continued power supplies for the plant, Afrochine is a subsidiary of Tsingshan Iron and Steel.

Tsingshan group chairman Mr Xiang Guangda said the company had already engaged Government over the setting up of the power plant, which will produce between 600 to 1 000 megawatts.

"This is in line with our plans to set up a stand steel plant that will require a lot of power, which cannot be met by current power supply," he said.

Mr Guangda said his company was willing to work with the Government to create employment as well as promote value addition.

"To process chrome ore we need US$100 per tonne and for ferrochrome US$1000 per tonne but for the stand steel, US$5000 per tonne is required and there is about 50 times increase in value.

"Therefore there is need for reliable power to make sure that the dream project is successful," he said.
- herald

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