Mozambican government approves investment project from Portuguese company Portucel

25 January 2010

Setúbal, Portugal, 25 Jan – The Mozambican government approved the “Portucel Moçambique” project Portuguese pulp and paper company Portucel said Friday in Setúbal, Portugal, under the terms of a notification sent by the Mozambican Centre for Investment Promotion (CPI).

According to a statement sent to the Portuguese stock market regulator, CMVM, the company said that the approval by the Mozambican government included provisional authorisation for Portucel to make use of 173,000 hectares of land in Zambézia province, as well as a number of benefits related to potential industrial investments Portucel may carry out in Mozambique.

The same resolution also includes the right to use an additional area of 220,000 hectares in Manica province, as soon as the current formalities have been concluded.

This approval follows an agreement signed with the Mozambican government, which was communicated to the market on 28 August, 2008, when Portucel announced it would carry out an investment project in Mozambique “for forestry development and pulp and paper production,” and that the factory would have “a production capacity of no less than 1 million tonnes per year.” (macauhub)