CHINA AFRICA SUNLIGHT ENERGY

COAL & METHANE GAS MINING EIA

Environmental Impact Assessments (EIA) Safety, Health & Environmental (SHE) SHE Management Systems & Training Environmental Management Plans (EMP) Environmental Audits Health & Sanitation Surveys Research, Training, etc

Environmental Guardians Services is a consultancy company that does the following;

Environmental Guardians Services has conducted over 60 projects. These involve; Mines Agriculture Lodges and Housing Brick and tile making Logging Filling stations Landfills Pipelines

EMA REQUIREMENTS

The Environmental Management Act Chapter 20:27 Sections that specifically apply to this project are;

1. Section 97: Projects for which EIA is required (prescribed)

2. Section 98: Developer to submit Prospectus

EMA REQUIREMENTS

3. Section 4: stakeholders have to be consulted about the proposed Project

4. Section 99: Contents of the EIA Report

5. Section 100: issuance of the EIA licence

SI 7 0f 2007, Sections 8 & 9: Proponent appoints consultant from an EMA Register

INTRODUCTION

This company is a joint venture between Oldstone Investments (Zimbabwean Investment vehicle) and Shandong Taishan Sunlight, a Chinese conglomerate. It has been established according to the relevant laws and regulations of the

country.

INTRODUCTION (Cont)

The Joint venture was established in November 2011 and its focus is on coal mining, methane coal bed gas extraction and thermal power generation in the Gwayi area.

Location of the proposed Mining Area

Boundaries of the proposed Mining Area

WORK DONE TO-DATE.

The company has accomplished a number of tasks following the award of its Special Grant 5538 by HE, the President of the Republic of Zimbabwe. The following has been achieved so far:

WORK DONE TO-DATE (Cont)

Securing of water rights from the Ministry of Water Resources

Securing of 2x200mw power generation licence from ZERA

Finalised National Grid connection modalities with ZESA

WORK DONE TO-DATE (cont)

Successfully conducted exploration Environment Impact Assessment.

Exploration almost complete ( done with minimum environmental degradation), and to the satisfaction of EMA

WORK DONE TO-DATE (cont)

Secured approval to carry out a full Mining Environmental Impact Assessment from EMA

China Africa has pledged USD1million to the Community Share Option Scheme

SCOPE OF INVESTMENT

The company will invest USD2.1 billion to carry out the following projects:

Coal Mining – the pictorial presentation depicts the coal mining operations.

SCOPE OF INVESTMENT

Thermal coal with a total planned output of 3million metric tons per year

SCOPE OF INVESTMENT (cont)

Coal preparation plant with planned output of 1million metric tons per year

SCOPE OF INVESTMENT (Cont)

Coking coal with planned output of 500,000 metric tons per year

SCOPE OF INVESTMENT (Cont) Other downstream projects- The company will set up Chemical manufacturing plant to produce fertilizer and a range of agro/industrial chemical products

SCOPE OF INVESTMENT (Cont) Coal Methane bed gas extraction- This project will seek to extract gas for both domestic and industrial use. Domestic commercialisation of the gas project will have a pilot program in Hwange and eventually Bulawayo

SCOPE OF INVESTMENT (Cont) Power generation- We expect to connect 400mw on the National Grid by 2015. This project will bring about a lot of relief to both the farming and manufacturing sectors

SCOPE OF INVESTMENT (Cont) Brick molding plant- Production of bricks will also be done from the ashes generated from the power generation process. Waste management (Life Cycle Anaysis)

SCOPE OF INVESTMENT (cont)

This will be an underground mining operation hence very little negative environment impacts can be expected.

BENEFITS TO THE COUNTRY

The following benefits will accrue to the country as a result of this project: •Direct foreign investment inflow of up to USD2.1billion in four years •Creation of new jobs –up to 4500 jobs

BENEFITS TO THE COUNTRY (Cont) •Transform Mat North Province and especially Gwayi into a town

•Provide tangible development projects-roads, schools, clinics etc. as comprehensive and integrated corporate social responsibility actions in the province. •Contribution to Community Share ownership scheme (USD 1million to date)

ENVISAGED IMPACTS

Bio-physical Natural habitat clearance

River siltation

Possible blocking of wildlife corridors

Noise

Fires

Chemical Pollution (hydrocarbons & GHG)

Visual Intrusion (Loss of aesthetic value of the environment)

Soil erosion

ENVISAGED IMPACTS (Cont)

Socio-economic

Short and long term employment

Improved standard of living

Poaching

Possible relocation of some members of the community

Health

Conflict

ENVISAGED IMPACTS

Socio-economic

Maximum utilisation of mineral

Social ills (crime, commercial sex etc)

Investment spill over (companies)

Alleviate power outages

Growth of Gwayi into a Town

Demographic change & Cultural dilution

GDP of Zim will increase

ENVISAGED IMPACTS (Cont)

Socio-Political

Conflict

Employment of locals

Corporate social responsibility

THE MINING EIA PROCESS

1. Prospectus Report

Done and was submitted top EMA

EMA response – Conduct a Full Mining EIA

THE MINING EIA PROCESS (Cont)

2. Components of a Full EIA

The MINING EIA PROCESS Assessments

Geological

Ecological

Hydrological

Archaeological

Socio-Economic

Geological Assessment

Ecological Assessment

Hydrological Assessment

Archaeological Assessment

Socio-Economic Assessment

THE MINING EIA PROCESS (Cont)

Stakeholder consultations

National Parks

Gwayi Intensive Conservation Authority

ZINWA

NSSA

Forestry Commission

THE MINING EIA PROCESS (Cont)

ZTA

Hwange RDC

Lupane RDC

Lupane DA

NRZ

KAZA

Environment 2000

THE MINING EIA PROCESS (Cont) Mat North Governor

Local Leadership and Communities

Lodges

Wildlife and Environment Zimbawe

ZPC

ZESA

Hwange Colliery/Makomo/Liberation

THE MINING EIA PROCESS (Cont) Mat North Governor

Local Leadership and Communities

Lodges

ZPC

ZESA

Hwange Colliery/Makomo/Liberation

DECOMMISSIONING Involve Stakeholders

Demolish and salvage

Turning some structure to other uses

Rehabilitation

THE MINING EIA PROCESS (Cont) EIA Compilation

EIA Report Submission

EIA Review by EMA within 60 days

EIA Certification

Coal Mining Commences

CONCLUSION

It is important to note that development of this nature bring about immense benefit and development to the country that is why it is important for nations to carry out cost/ benefits analysis when faced with issues of this nature.

CONCLUSION (Cont)

At the same time, it is naïve to imagine that developments of this nature can not degrade the environment, what is important is that stakeholders in the situation should work together for a win - win situation, zero sums as the end game will not work.

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