Delbi Coal Mining Share Company is set to extract 30,000 tons of coal in Ethiopia. The company will be extracting coal from an open mining field in Jimma. Delbi plans to increase its production to 200,000 tons of coal in time.
Delbi has extracted and sold an estimated 46,000 tons of coal since it began operating. The company has begun preparation for the mining project.
It is expected that sub-Bituminous bitumen coal will be produced through open mining. Delbi will also carry out exploration for other types of coal.Delbi has formed a conservation and safety department that will investigate the environmental impacts of its project to the ministry of mines.
Delbi Coal was founded as a Private Limited Company with a capital of 100,000 birr and has since grown into a Share Company with an estimated capital of 60 million birr.
The company provides coal to various industries in Ethiopia including, Mesebo Cement Factory, Hung Shen, Ayka Addis, Ethio Bricks and Tabor Ceramics.
Mesebo Cement factory, Oromia Agro-processing and Ezana Mining plc are amongst the corporate share holders of Delbi coal.
It is to be remembered that a move to replace heavy furnace oil used in cement factories with coal is underway.
The move to use coal has been welcomed by cement factories in Ethiopia, some of whom have been importing coal for their own use. The decision to replace coal for the heavy furnace oil used by cement factories is expected to reduce foreign exchange costs.
Source: Capital
