Mozambique: Riversdale Mining hands in preliminary studies on Moatize coal

1 September 2008

Maputo, Mozambique, 1 Sept – Australian company Riversdale Mining, one of the coal concession-holders at Moatize in Mozambique’s Tete province, has concluded the preliminary studies of its mining project, which includes investment of an estimated US$800 million, according to Mozambican newspaper Notícias.

The documents handed in to the government, via the Mining Resources Ministry, mainly include geological and environmental information, and the government is expected to give its opinion on the study within three months.

The project is considered to be a valuable asset for the Mozambican economy taking into consideration not only the amount of investment involved, but also the potential it ahs for creating 1,500 direct jobs and a further 4,500 indirect jobs, as well as tax revenues for the state.

Michael O’Keeffe, chief executive of Riversdale Mining, told journalists in Maputo that conditions had been created to fulfil the established schedule, namely the construction of the main facilities starting next year and the start of operations at the mine in 2010.

According to information provided at the time, in its full operating phase, the Benga mine is expected to produce 20 million tonnes of coal per year, mainly for foreign markets.

Riversdale Mining is considering three possibilities for transporting the coal away from the mine: the Sena railroad (which links with the port of Beira), the port of Nacala (via Malawi) as well as the Zambezi river. (macauhub)