Clean Carbon Industries plans to produce liquid fuel from coal in Mozambique

9 October 2012

The Clean Carbon Industries company plans o invest US$1 billion to build a factory for production of liquid fuel from coal slag produce din Mozambique’s Tete province, said the company’s managing director cited by Mozambican daily newspaper Notícias.

Hugh Brown, who presented the project at a meeting of the Sofala provincial government said that the factory, which will be built in the Savane area and is expected to start operating in 2015, would produce gasoline, diesel and Jet A1 aviation fuel.

The managing director of Clean Carbon Industries said that pre-feasibility studies had been concluded and that the factory was expected to produce 65,000 barrels of fuel per day.

Brown also said that, by producing fuel from low quality coal that cannot be exported by companies mining in Tete, Mozambique would save up to US$300 million in foreign reserves, as well as securing its fuel supply.

“Three companies produce 28 million tons of coal waste each year that is of insufficient quality to be exported and we were born to make use of that coal to produce fuel,” he noted.

In order to make this project viable, Brown said that Clean Carbon Industries had already negotiated a regular supply of raw materials for the future factory with coal mining companies, specifically Ncondezi Coal and Warrior Coal. (macauhub)