EXECUTIVE SUMMARY
Southern Province is currently the only coal producing province in Zambia. The coal deposits
are located in the Mid-Zambezi Valley. The most recent estimates of the resources at Maamba
Mine, the largest producer, is 166 million tonnes at Izuma and Kanzinze Basins. Currently
active exploitation of coal is at Izuma Basin and Nkandabwe by Maamba Collieries Limited
(MCL) and Collum Coal Mining Industries Limited (CCMIL) respectively. The other
coalfield within the Zambezi Valley includes Mulungwa, Siankondobo, Chisanga and
Siambabala.
Southern Province has over the years seen increased mining activities. The status of the
province has shifted from being predominantly agriculture to include mining. From the time
of the liberalized economy in 1991 and the implementation of the 1995 Mining Policy through
to the current Mineral Resources Development Policy of 2013, the Province has continued to
experience increased participation in the mining sector with players in mineral exploration
and exploitation.
In the recent years, the need to exploit mineral resource for the use of energy generation has
become eminent following the climatic changes that have affected the long-time hydropower
generation schemes in Zambia. Coal worldwide has been used as an alternative source of
energy for many sectors of manufacturing industry including generation of electricity. Given
this background, Shimabu Mining Limited (SML) envisages to exploit coal mineral resources
in Gwembe district with the eventual goal of establishing a viable mine.