Mozambique: Ancuabe graphite concession contract signed by end of the year

15 December 2008

Maputo, Mozambique, 15 Dec – The concession contract for graphite mining at Ancuabe, in Mozambique’s Cabo Delgado province, is due to be signed by the end of the year according to the country’s mining resources minister, Esperança Bias, cited by newspaper Notícias.

The minister said that by the end of the first quarter of next year work could begin on the ground.

The facility, which in the 1990s was considered to be the biggest mining project in Mozambique, closed in 1999 due to a fall in prices and high production costs.

“If everything goes well, in all likelihood by the end of the year we will have a contract for graphite mining signed and, once the agreement is concluded we hope that from the first quarter of next year concrete activity will begin on the ground,” Bias said..

The concession tender for the Ancuabe graphite mine was won by EIMCOL, a company linked to IMERYS, a Canadian company.

The Ancuabe graphite mine, whose product was considered to be the purest in the world with 99 percent carbon, employed 270 workers and total production of 700 tonnes per month.

Graphite is mainly used by the chemical industry, including pencil production, as well as in the pharmaceutical industry.(macauhub)