Mozambique needs to invest in new rail and port facilities to transport coal from Moatize

15 December 2011

Maputo, Mozambique, 15 Dec – Coal production in Mozambique is expected to total 100 million tons by 2020, which requires construction of new rail and port facilities to ensure the transport of the coal mines at Moatize, Mozambique’s Transport and Communications Minister said.

According to Mozambican news agency AIM, Minister Paulo Zucula was speaking at Dondo railway station after travelling a few kilometres along the Sena railroad in the company of a delegation from the World Bank, an institution that has applied between US$180 and US$190 million to reconstruction of the railroad and between US$15 and US$20 million to dredge the port of Beira.

“There is a lot more to be invested,” the minister noted, mentioning that the Mozambican government had decided to return Management of the central rail network to state company Portos e Caminhos de Ferro de Moçambique bringing an end to the concession contract that had been signed with Indian consortium Ricon, made up of state companies Rites Ltd and Ircon International.

“We wanted to see how the company is preparing, what the plans are and what we are going to do now to start working in a serious way to finish the Sena line and start work on the Machipanda line, which was never touched (by former concession holder, Companhia de Caminhos de Ferro da Beira)”.

Zucula said that the government was in talks with the World Bank, “specifically in terms of what will be done immediately to make up the three-year delay on both the Sena line and Machipanda, where nothing was done and which is now in an advanced state of disrepair.”

The director of the Sustainable Development Department of the World Bank for Africa, Jamal Saghir, said he was happy with the results of some investment by the World Bank in Mozambique and noted he had seen good results in terms of railroads as well as other sectors. (macauhub)