Long-lasting repairs on the Sena and Limpopo railroads in Mozambique are estimated to cost US$263 million, of which US$143 million will be spent on the Limpopo railroad, said the chairman of state rail and port management company CFM.
Rosário Mualeia said that the funding would make it possible to carry out work on the two lines that will ensure that remain in operation even when flooding similar to this year’s occurs.
On the Limpopo railroad the floods caused estimated damage of US$4.5 million, of which US$3 million is the result of trains not being able to use the line.
On the Sena railroad damage was estimated to cost US$10 million, which also includes emergency repair work and the fact that trains have been unable to use the line.
The figures for the Sena line do not include losses incurred by mining groups Vale and Rio Tinto, which have been forced to break their coal contracts due to it being impossible to transport production to the port of Beira for export.
Last week Brazilian mining group Vale announced that problems on the Sena railroad had prevented its Mozambican subsidiary from shipping 250,000 tons of coking coal. (macauhub)