Maputo, Mozambique — 27 November 2012 – Kazakhstan mining group ENRC is planning to spend several billion dollars on building a railroad to carry coal from its concession in Mozambique’s central Tete province to the port of Nacala on the Indian Ocean coastline.
Addressing a conference here, ERNC Coal Africa director Paul Craven said that construction of the railroad would begin in the first quarter of 2014 in order to start operating at the end of 2015 or beginning of 2016.
Macauhub News Agency reports that he revealed that the railroad would have an initial transport capacity of 60Mtpa which could be expanded to 100Mtpa if needed.
The project announced by the ENRC group will be the second railroad to link Tete province to the port of Nacala, in the wake of Brazilian group Vale, which is investing US$4.4 billion in a line that will pass through Malawi, and in modernisation and expansion of the port of Nacala.
Craven did not give a figure for the cost of building a new railway line but gave assurances that it would be competitive.
The Nacala deep water port, which allows Panamax ships to moor there, is the best location for exporting coal from Mozambique unlike the port of Beira, which needs permanent dredging in order for larger ships to use it.
Source: Macauhub News Agency. For more information, click here.