Benga coal project launches in Mozambique’s Tete province

13 April 2010

Tete, Mozambique, 13 April – The coal mining project at Benga, Moatize district in Mozambique’s Tete province is due to be launched Tuesday with a ceremony to lay the first stone by Mozambican president Armando Guebuza.

According to Mozambican newspaper Notícias, the Benga coal project will, as of 2011, produce some 5 million tons of coal, an amount that may be increased from 2016 to 20 million tons per year.

The Benga coal mine is approximately 65 percent owned by Riversdale Mining and the remaining 35 percent is owned by Indian group Tata Steel.

Initially the consortium responsible for the mine plans to invest US$270 million.

Production will supply the international market and the concession-holding company is seeking ways to transport the coal.

The paper noted that potential routes include the Sena railroad as far as the port of Beira, forwarding the cargo to the port of Nacala and river transport, on barges, on the Zambezi river, from Benga in Tete province, to Chinde in Zambezia province, approximately 500 kilometres away. (macauhub)