HomeEnergy MineralsVale helps develop Mozambique infrastructure

Vale helps develop Mozambique infrastructure

The Sena line connects
Moatize to the port
of Beira, but cannot
cope with future
Moatize production
Maputo, Mozambique — MININGREVIEW.COM — 28 October 2009 – Global mining company Vale SA “’ the world’s biggest iron- ore producer “’ has announced that it will help fund a US$1.6 billion (R13 billion) airport in Mozambique’s northern port city of Nacala.

Reporting this development here, daily newspaper Noticias quoted transport minister Paulo Zucula as revealing that Vale and the Mozambican government were also involved in the partial construction and rehabilitation of a 900km rail link which would connect the Moatize coal fields to Nacala, with as many as 400 km of the railway passing through the neighboring southern African country of Malawi.

The newspaper added that Vale would use the railroad to move coal from its Moatize concession “’one of the largest carboniferous reserves in the world “’to the port. The Moatize mine “’ which is situated about 1 700 km north of Maputo “’ is expected to produce eleven million tonnes of metallurgical and thermal coal over the next 35 years.

Vale is pushing forward on development of the US$1.3 billion (R11 billion) mine, and expects to start production of coking coal for export in late 2011.