Lusaka Times reported that the Chinese Collum Coal Mine management in Sinazongwe district has said the shrinking market for coal has resulted in shutting down of Shaft Three and 250 workers have been laid off.

Mr Xu Zian Rui Director for Shaft Two and three said 4,600,000 tones of coal were lying in their storage shades. He said that most of their customers such as Chilanga Cement, Konkola Copper Mine, and Zambia breweries are still buying their coal from Zimbabwe.

He added that production has been reduced as they were now producing 3, 000,000 tones of coal per month. The Director said the price of their coal ranges from K280, 000 for washed peas, K230, 000 washed nuts and K180, 000 for washed fines. He further said production would be back to normal once the market for coal improved.

Mr. Rui said only small companies were buying coal from them in smaller quantities. He said the scenario has affected workers that have been laid off because they have no means to look after their families. He added that the closed shaft would only be re-opened once the market for coal improved.

Last month the Chinese director appealed to government to assist them in ensuring that companies stops buying coal from outside the country because they had enough stocks to satisfy the market.

(Sourced from Lusakatimes.com)