South African group Aveng plans to invest US$18 million in construction of a railway sleeper factory in Mozambique’s Tete province, radio station Rádio Moçambique reported Tuesday.

At the group’s official launch in Mozambique, officials said that the factory would have capacity to produce 130,000 tons of sleepers per year and would provide 1,000 jobs in the future.

According to the announcement, the Aveng group’s board of directors decided to move into the Mozambican market after being attracted by growing numbers of business opportunities.

The group works in the public works, energy, mining and railway sectors, amongst others, and operates in 30 countries with a staff of 30,000 through a number of subsidiary companies.

British group Obtala Resources also produces railway sleepers via the Montara Continental Corp, which has been awarded a contract to supply 33,200 sleepers to Vale Moçambique, a subsidiary of Brazilian group Vale. (macauhub)