Iron and steel metallurgical Complex

Liganga Iron and Steel project

The project is located at Liganga area, Ludewa District, Njombe Region about 850 km from Dar es Salaam. The project is being implemented as an Integrated project with Mchuchuma Coal Project. It is also being developed and implemented by Tanzania China International Mineral Resources Limited (TCIMRL), which is a Joint Venture Company (JVC) between the Government through NDC (20% non-cash) and Sichuan Hongda Group from China (80%).

Liganga Project entails establishment of an Iron Ore Mine and Steel Plant. The iron ore reserve according to drilling exploration conducted in 2013 at an area (10 km2) is 126 million tons, which can be processed to produce iron and steel, vanadium and titanium products. Planned production capacity is 1.0 million tones annum (t/a) of Steel Products (can be increased to 2 million t/a), 175,400 t/a and 5,000 t/a of Titanium and Vanadium concentrates respectively. Feasibility and ESIA studies have been completed. ESIA Certificates, License for mining Iron and Water Right for use of Lupali River have been obtained. Strategic Investor Status Certificate and subsequently Performance Contract and its Addendum for Incentive Package were signed between the Government through Tanzania Investment Centre (TIC) and TCIMRL. Total Investment for Iron Ore Mine including the associated infrastructures and Steel Plant is about USD 1.623 billion.

Sponge Iron Product

The sponge iron plant will be established in Ludewa district utilizing iron ore from Maganga Matitu (part of Liganga) and coal from Katewaka to produce sponge iron. Maganga Matitu Resource Development Limited (MMRDL) is implementing the project and the shareholders are NDC and MM Steel Resources Public Limited Company (MMSR PLC). Project due diligence and bankable document are being finalized. The project intends to establish a 400,000 tpa of Sponge Iron Plant that will be used to produce 300,000 tons of iron and steel products per year. Production is expected to start in 2018/19.