ZISCO to sign partnership deal with Essar African Holdings

The eagerly awaited signing of the partnership deal between ZISCO and Essar African Holdings is set for this Wednesday in the capital in a move expected to bring to conclusion negotiations between the two parties which began last year.

ZBC News is reliably informed that negotiators from the two parties in the deal who have been working on some of the clauses of the draft agreement have finalised their negotiations and the signing is scheduled for Wednesday in Harare.

Essar, which beat 12 other companies to the tender, including South Africa's Arcellor Mittal, is set to invest in the revival and expansion of the local integrated steel maker by leveraging its expertise in the steel sector.

While finer details will be availed this Wednesday, sources close to the deal say Essar Holdings is set to invest around US$65 million into ZISCO and will commence the refurbishment of the plant.

ZISCO which is strategic in the performance of the local economy, has not been operational for the past few years and economic analysts contend that its revival is critical in the resurgence of the local economy.