Mozambican government secures funding for construction of a new railway line

8 October 2009

Maputo, Mozambique, 8 Oct– The Mozambican Transport and Communications Minister, Paulo Zucula, announced that the government had secured funding of US$500 million to build a new railway line.

The new railway will link the coal-rich Moatize region to the port of Nacala by 2015 and the minister said that construction work could begin within two months as the funding had been secured from the governments of the Netherlands and Denmark and the European Union.

Moatize will have a railway link with the port of Beira, which is currently being re-built by a consortium of two state Indian companies, but which has a limited transport capacity and ends at a port that is unable to receive large ships due to silting problems.

The Transport Minister added that the new line would link the Sena line and the line linking the deep water port of Nacala to Malawi.

“Its conclusion, including modernisation of the Nacala-Malawi line, will take place at the peak of production of coal at Moatize,” Zucula said. (macauhub)