October 2013 (PDF) - Maamba Collieries Limited (MCL)

Foreword by the Resident Director Mr. Ashwin DevineniDear readers,Once more, allow me to welcome you, our readers and stakeholders, to this edition of the MCL Newsletter. I wish to emphasize before I goany further that we remain deeply humbled with the cooperation we have received from all stakeholders since we started our investmentin Maamba in 2010.As the year 2013 draws to a close, the company will continue to look to the bright future of Zambia and that of the company with utmostconfidence because of our good working environment in the last three years.We are particularly grateful with the great progressive partnership we have continued to enjoy with our partners, the Zambia ConsolidatedCopper Mines—Investment Holdings (ZCCM-IH) PLC.The cooperation in general from our major stakeholders has encouraged us to tackle various challenges in the community apart from makingprogress in the on-going construction of the power plant.We appreciate the high valued support being rendered to the company from the Zambian Government and other stakeholders.It makes us happy, as a company, that we have become part of the Zambian family. In the last one year, we have conducted three medicalcamps apart from cervical cancer screening of women and other CSR activities.The CSR activities have included procurement of dust-bins and continued construction of roads within the township and surrounding areas.Our relationships with local government officials within Sinazongwe and Southern Province have continued to grow. This is as it should be.Our company will remain steadfast in listening to the government, the shareholders and the rest of the community.In the month of July, the company spearheaded the clean-up exercises in our township in Maamba. Hundreds of local residents, as wasanticipated, turned up to partner with employees.I want to salute them for their efforts. I thank you all.Ndalumba maningi, Dzikomo, Natasha!Ashwin DevineniResident DirectorCoal mining in progress33

Section 1 - Mining & Energy47 % power plant construction completeBy the end of September 2013,about 47 percent constructionof the 2 x 150 MW coal fired powerplant had been completed.Major mile stone activities likeconstruction of 150 meter highchimney was completed on 30thAugust, 2013. The unit-1 boiler drum(72 ton) lifting had been completedsuccessfully on 31st September 2013.This is a significant movement asthe October 2014 deadline forcommissioning of the first unit fastapproaches.The second unit of the Power Plantis scheduled for commissioning inJanuary 2015.Construction of the double circuitpower transmission line and the waterpipeline by Sepco are progressingwell.The double circuit transmission linewill facilitate the transmission ofpower from the plant to Muzumasub-station where it will connect toZambia Electricity Supply Corporation(ZESCO Limited).Meanwhile, Heavy duty equipmenthave been mobilised to site for thewater pipe line works and pipe linecorridor bush clearing works are oncourse.2 X 150 MW Power Plant under construction in Maamba, ZambiaThe power plant will utilise the lowgrade thermal coal reserves andrejects from the Coal Handling andProcessing Plant (CHPP) to generateelectricity for the Zambian industryand households.MCL is expected to start the crucialprocess of synchronization of the firstunit in August next year, subject toZESCO upgrading its power line from220kV to the required 330kV.NBV Board Members visit MCLThe Board of Directors of NavaBharat Ventures Limited touredMaamba Collieries to familiarizethemselves with the mine and thework on the ground in July 2013.The tour took place a day after theboard meeting of MCL held at MCLoffice at Corporate Park, Lusaka.The NBV board members wereaccompanied by Chairman Mr. D.Ashok and Resident Director Mr.Ashwin Devineni.The directors spent two working daysin Maamba and took time to checkon the progress that has been madeat the power plant construction site.Mr Devineni, speaking after aconducted tour of the MCL mineand power plant construction sitealongside board members, saidconstruction works were on track.He said MCL would continue toinvest in responsible mining activitiesto protect the environment while4helping the needy through corporatesocial responsibility.Mr. Devineni was happy with theteam work exhibited by the companyand challenged them to own theprogress that has so far beenrecorded.During their tour of duty the board ofdirectors learnt about the progressthat had so far beaen recorded in theconstruction of the power plant.

Mining21 Zambian engineers join Maambapower plant constructionTwenty-one Zambian engineershave been engaged to join theexpatriates in constructing thecountry’s biggest coal - firedthermal power plant in Maambain Sinazongwe district.The recruitment of local engineersis aimed at investing in the futureconsidering that they will be responsiblefor operation and maintenance of theplant once completed.Some of the new engineers at the Power PlantThe graduate engineers were recruitedthrough interviews conducted at MCLcorporate office in Lusaka in June.The programme is part of the processto add to government efforts in creatingjobs for the Zambian people and this willboost the economic fortunes of Maambatown.Mines Minister Hon. Christopher Yaluma (in white work suite)during the tour of the Maamba power plant recentlyAfDB approves US $150-million loan to support MCLpower projectTUNIS, Tunisia, October 4, 2013 –The Board of Directors of the AfricanDevelopment Bank (AfDB) approvedon Wednesday, October 2 a senior loanof up to US $150 million to finance a300MW coal-fired power plant as wellas the revamping of the Maamba coalmine in Maamba, Zambia.The project aims to tackle a severeenvironmental concern at the minecaused by the unregulated andspontaneous self-combustion of tons ofcurrently unused low-grade coal whileproducing much-needed electricity forthe country and the region.The Maamba power plant projectwill increase supply and reliabilityof electricity in Zambia which iscurrently experiencing black-outs andis heavily reliant on drought-sensitivehydro power. Zambia’s hydro powerproduction accounts for 96 per centof total production, which exposes thecountry to severe economic risks incase of drought.5By capitalizing on readily available lowgradecoal resources, and diversifyingaway from hydropower, the project thusserves as a good example of mitigationand adaptation to climatic changes inthe region. The power plant will usewell-proven and advanced technologyfeaturing high combustion efficiencyand reduced GHG emissions for a loweroverall environmental footprint.The loan disbursement will only bemade upon MCL completing variousconditions precedent. The conditionsinclude closure of satisfactory loansecurity agreements.

Section 2 - HealthMCL donates K20, 000 to CIDRZHaving spent over USD 1.75 million on corporate social responsibility within the last two years, MaambaCollieries Limited (MCL) donated another K20,000 to Centre for Infectious Disease Research in Zambia(CIDRZ) to enable their medical team to conduct a five-day medical camp for cervical cancer screening.The company donated the cheque to CIDRZ at a colourful ceremony held at the Government House—Republican Vice President’s official residence—on Friday, 30th August 2013.MCL’s Head of Corporate Affairs Mr.Janardhan Lavu handed over thecheque to Mrs. Charlotte, the VicePresident Dr. Guy Scott’s wife, foronward delivery to CIDRZ’s ChiefOperating Officer (COO) GeoffreySilwizya.The K20,000 donation was forconducting the cervical cancerscreening camp from 12th to 17thSeptember, 2013.The company was happy that MrsScott sought funding from MCL forthe exercise. The programme broughtimmense benefits to the women ofMaamba community.At the same event, Mrs Scott saidMCL had demonstrated incomparableefforts to investing in ordinary peopleand that the Minister’s Spouses Clubwould continue to work closely withthe company.The company decided to go anextra mile in helping with transportfollowing a request by the Ministers’Spouses Club through Mrs. Purity,Wife of Deputy Minister of Commerce,Richwell Siamunene.A team of two other medicalpersonnel from Maamba was alsoengaged.Mr. Silwizya said MCL had encouragedCIDRZ to consider opening apermanent centre for cervical cancerscreening and treatment at MaambaHospital.The handover ceremony was alsoattended by a team of medicaldoctors and nurses from CIDRZ.MCL Head of Corporate Affairs Janardhan Lavu handing over the cheque toCharlotte, his honour the vice president Guy Scott’s wifeThe gesture was a demonstrationthat improving health ranks high onMCL’s list of priorities.During the five-day medical campthat focused on cervical cancer, MCLspent a total of K100,000.The programme involved ferryingwomen from various localities suchas Sinazongwe and chief Mweemba.MCL Chief Operating Officer (COO) Gurram Venkata-Narayana (striped t-shirt) andMaamba Development Trust (MDT) Manager Jethro Sikalunda pose for a photo withthe SDA women who were found at Maamba Hospital cleaning the premises6

The CIDRZ medical team on hand to attend to patientsduring the Medical campPart of the crowd that attended the MCL Medical camp held from 12th to 17 th September 2013724 women screened at MCL cervical cancer screening CampA total of 65 women out of the 724 whowere screened of cervical cancer at a freemedical camp sponsored by MaambaCollieries Limited in Sinazongwe testedpositive to the disease.Seventeen of them were found withsevere cancer and referred to Monzegeneral hospital for further medicalattention while 48 others were treatedduring the camp at Maamba Hospital.The company is happy with the hugeturnout but the service could not copewith the demand despite management’sdecision to extend the camp from theinitial three days to five days.The medical camp focusing on cervicalcancer was held from September 12 to17, 2013 and was graced by MadamPhosile Sichinga, wife of AgricultureMinister Robert Sichinga.stakeholders should sponsor anothercamp in March next year to coincidewith the review of those who weretreated.Sinazongwe District CommissionerDodo Sindaza praised MCL for thegesture. MCL Chief Operating OfficerMr. Gurram Venkata-Narayana said MCLhas demonstrated high levels of care forthe residents of Maamba by sponsoringthe third medical camp this year.A team from the Centre for InfectiousDiseases and Research in Zambia(CIDRZ) led by Susan Banda, who wereengaged by MCL, recommended thatSinazongwe District Commissiner Dodo Sindaza addressing residents during thecervical cancer medical camp. Looking on (middle) is Mrs. Phosile Sichinga (far left)Spouse of Minister of Agriculture Mr. Robert Sichinga and Mrs. Purity Siamunene,Spouse of Sinazongwe MP, Mr. Richwell Siamunene.7

Section 3 - EnvironmentMaamba Collieries launches ‘clean,green and plastic-free’ campaignSinazongwe District Commissioner Dodo Sindaza (middle) also participated in the clean up exerciseHordes of residents in Maamba joined the ‘clean, green and plastic-free’ campaign launched byMaamba Collieries Limited to keep the town clean and environmentally friendly.The campaign sits within thegovernment effort dubbed ‘MakeZambia Clean and Healthy’ which isa permanent feature to encourageZambians to maintain theirsurroundings clean and avoid waterborndiseases such as cholera.The event to launch a sensitizationprogramme in Maamba was held onJuly 16, 2013 led by Chief OperatingOfficer (COO) Mr. Gurram VenkataNarayana.Employees, their spouses and otherresidents turned up in large numbersto fulfil their corporate theme of aclean, green and plastic-free MaambaCollieries Limited.Mr. Narayana explained that theprogram to sensitize the communityon the need to keep Maamba, clean,green and plastic-free was importantas the population of Maamba wouldcontinue growing with the increasedinvestment.This will generate more solidwaste in the township and therewas therefore, need to keep thecommunity informed about hygieneat household level.He said the vision of new Maambamanagement was to see anenvironmentally clean and greenMaamba township.SHEQ Manager Mr. Andrew Tembotold the gathering that it wasimperative to keep Maamba clean,green and plastic-free as this wouldassist in reducing greenhouseemissions to the atmosphere.He emphasized that plastics arenon-degradable and there was needto recycle them which would helpgenerate income.Mr Tembo said there was readymarket in the capital Lusaka providedby firms that had invested in recyclingplastic wastes.The Guest of Honour, Mr. Dodo8Sindaza who is Sinazongwe DistrictCommissioner challenged thecommunity of Maamba to get rid ofsolid waste to prevent the incidenceof cholera and other diseases.Mr. Sindaza suggested that householdcompetition on cleanliness beintroduced to motivate the localpeople with incentives.After the speeches, a sensitizationwalk was conducted in which themarchers walked from KanzinzeFootball Stadium to MaambaShopping Centre via Maamba BatokaRoad.This was punctuated by publicannouncements and displaying ofbanners bearing messages abouthygiene as marchers picked solidwaste and dumped them in vehiclesfor onward disposal.The aim is to beat MCL’s own recordunder environmental protection.

Safety management system at MCLOne of the major hallmarks of MCL’s success is that the company has ensured that mining activities, the Coal Handlingand Processing Plant (CHPP) and the power projects operate within the prescribed safety requirements. The targetsinclude accident-free mining practices and zero risks.Our VisionTo be a leader in coal mining and coalbased power generation in Zambiathrough sustainable development ofresources.Our MissionTo be a dependable source of energyin the form of coal and thermalpower generation in Zambia and thesurrounding regionOur GoalImplementation of Integrated Quality,Energy, Safety, Risk, Health andEnvironmental Management Systems(policy) for a sustainable futureObjectives of new management atMCL include revival of coal miningactivities with scientific, efficient andenvironmentally friendly operations.Having set up the CHPP, the companyis now preparing to start theestablishment of mine-mouth, coalMCL employees and residents collecting garbage from the townshipfired, eco-friendly power plant, usingthermal grade coal and rejects as fuel.Along the way, MCL intends to put upincomparable social, economic andecological systems that will meet allthe requirements.The company is putting tarmac onthe pot-holed road that was lastmaintained in the 1960s.The new management at MCL hasengaged Pro Consult to tar the roadfrom the heart of the township toconnect to the road that leads to thestadium and linking it with the roadto the mine.According to the agreement signedbetween MCL and the contractor,the construction period is expectedto last 30 days.MCL refurbishes key road in MaambaMaamba Collieries Limited (MCL)has started constructing a keyroad in the township to ease transportationchallenges for the localpeople.The road under construction startsfrom Izuma Lodge to the MaambaMine gate and is used by variouspeople including farmers and residentsin general.9 9This is one step by MCL to furtherdeliver on corporate social responsibilityin all areas including construction.Maamba town has generally beenrundown after many years of lack ofinvestment in infrastructure.

Contractors team up to launch safety programmeBy Harry Kanyandi, Chief SafetyOfficerContractors for Maamba Collieries(MCL) have appended theirsignatures to launch the safety monththat will run from June 2013 until theconstruction of the power plant iscomplete.With the signing of the Health Safetyand Environment (HSFE) documentat SEPCO offices, all the Power Plantconstruction site workers affirmedthe alert towards safety.The gathering ended with signaturesappended on the banner to declaresolidarity and readiness to meet thejob challenges for the coming monthsup to completion of the project.MCL has so far lived above board inthe area of safety by recording zerofatalities since the new managementteam took over the mine in 2010.Contractors appending signatures after the speechesThe following shows the activities (projects) under CSR Sewage PondDump site at Mayakayaka under constructionSix stabilisation sewer ponds are under construction to helpfacilitate the ever increasing waste management in Maamba -New sewer ponds under constructionWomen in Maamba at the market celebrating thedonation of waste bins by MCL in collaboration withWako MineralsThe company has procured garbage handlingbins for the Maamba community. The binshave been placed in various corners and strategiclocations of the township to ease the disposal ofwaste.10