Medeshi Sept 25, 2008Ethiopia to start coal production
Yohaness Gessesse
Yohaness Gessesse
AfricaNews reporter in Addis Ababa, Ethiopia
500 tons of coal would be produced per day when Ethiopia's coal production starts in October. It is a joint venture of Ethiopian and Pakistani company, Ethio-Pak Coal plc. The production site is 300 km West of Addis Ababa. Coal reserve is estimated 14million tons. It covers an area of 39 Kilometer square.
Ethio-Pak Coal is established with an initial investment capital of $10 million in 2005 by two Ethiopian and one Pakistani company. The 40 percent share of the total company belongs to Ezana Mining and 25 percent to Mesobe Cement Factory, while the remaining 35 percent share of the company belongs to the Pakistani company, Tradesman Engineering. Even though several attempts were made in the past by the government of Ethiopia to utilize its huge coal resource, Ethio-Pak Coal is the first to reach the production stage.
According to Engineer S. Amjad Hussain Shah, General Manager of Ethio-Pak Coal he has over 30 years of experience in mining Engineering field in Pakistan, out of the 500 tons of coal the company produces per day, it is planning to supply 400 tons to one of Ethio-Pak Coal’s share holder, Mesobe Cement Factor, which has already changed its cement production plant that uses furnace oil (petroleum) into coal-fired. According to the current price, coal is cheaper by half than petroleum.
The company also plans to sell the remaining 100 tons for the low income society for cooking purpose by crushing it in small pieces and changing it into briquetting, which replaces charcoal. The production capacity is expected to reach 1500 tons per day after a few months, according to Engineer Amjad. Currently, the number of employees is around 200. Additional 300 are also expected to benefit from the investment indirectly by engaging in transportation and other logistics.
In Ethiopia, there are half a dozen places rich with coal reserve. Yayou Coal Phosphate Project is one of the largest, which is estimated to have the potential of producing 300,000 tons of urea (fertilizer), 90 Mega Watt electricity and 20,000 tons of methanol per annum. Though there were several attempts for many years to implement this project by the government, still it has not gone far from paper works and some research activities on the ground.
500 tons of coal would be produced per day when Ethiopia's coal production starts in October. It is a joint venture of Ethiopian and Pakistani company, Ethio-Pak Coal plc. The production site is 300 km West of Addis Ababa. Coal reserve is estimated 14million tons. It covers an area of 39 Kilometer square.
Ethio-Pak Coal is established with an initial investment capital of $10 million in 2005 by two Ethiopian and one Pakistani company. The 40 percent share of the total company belongs to Ezana Mining and 25 percent to Mesobe Cement Factory, while the remaining 35 percent share of the company belongs to the Pakistani company, Tradesman Engineering. Even though several attempts were made in the past by the government of Ethiopia to utilize its huge coal resource, Ethio-Pak Coal is the first to reach the production stage.
According to Engineer S. Amjad Hussain Shah, General Manager of Ethio-Pak Coal he has over 30 years of experience in mining Engineering field in Pakistan, out of the 500 tons of coal the company produces per day, it is planning to supply 400 tons to one of Ethio-Pak Coal’s share holder, Mesobe Cement Factor, which has already changed its cement production plant that uses furnace oil (petroleum) into coal-fired. According to the current price, coal is cheaper by half than petroleum.
The company also plans to sell the remaining 100 tons for the low income society for cooking purpose by crushing it in small pieces and changing it into briquetting, which replaces charcoal. The production capacity is expected to reach 1500 tons per day after a few months, according to Engineer Amjad. Currently, the number of employees is around 200. Additional 300 are also expected to benefit from the investment indirectly by engaging in transportation and other logistics.
In Ethiopia, there are half a dozen places rich with coal reserve. Yayou Coal Phosphate Project is one of the largest, which is estimated to have the potential of producing 300,000 tons of urea (fertilizer), 90 Mega Watt electricity and 20,000 tons of methanol per annum. Though there were several attempts for many years to implement this project by the government, still it has not gone far from paper works and some research activities on the ground.
