The government has awarded a coal exploration and mining licence to Mutagech Logistics (Pvt) Ltd.
This is for the setting up of a coal mine and a coke oven battery plant in Hwange as the government continues to prioritise investment in the coal mining sector.
In an interview, Mutagech Logistics project engineer Donald Nkosana said his company was targeting to start mining by the end of the year.
He told Zimbabwe Economic Review that Phase One of the project which will see US$500 000 being pumped into the project.
He said the company also envisages employing 600 people.
Meanwhile, the exploration of coal in Hwange has angered some citizens and environmentalists as they think it endangers one of the country’s biggest game reserves.
Meanwhile, Zimbabwe Geological Survey reports that the country has vast high grade coal deposits occurring as fossilized carbon.
It occurs in lower Karoo sediments.
These are the middle Zambezi basin to the north and save Limpopo basin in the south.