HomeEnergy MineralsVale to invest US$1.7 billion in key Mozambique rail line

Vale to invest US$1.7 billion in key Mozambique rail line

A large mine truck
dumps a load of coal
onto a conveyer belt
at Vale’s Moatize
mine in Mozambique
 
Maputo, Mozambique — MININGREVIEW.COM — 06 March 2012 – The Mozambique government’s Centre for Investment Promotion (CPI) is in the process of analysing a proposal from Vale Mozambique “’ subsidiary of Brazilian mining giant Vale “’ to build a railway linking the coal town of Moatize in the interior to the port of Nacala on the coast of Mozambique.

Assistant director-general of the CPI Godinho Alves told Mozambican newspaper Notícias
that the railway, which would cut through Malawi, would cost a total of US$1.7 billion. It would be 201km long of which 130km would be laid in Malawi.

Alves also said at a meeting with local businesspeople that, “as well as the railway, the project includes construction of a port terminal facility to dispatch coal transported from Moatize.”

The section of the railway line that crosses Malawi will be built by Portuguese company Mota-Engil over a period of 27 months at a cost of US$703 million.

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