Vale’s board has approved the expansion of the Moatize coal project in Mozambique, with an investment of $6bn.

The expansion is expected to increase the output of the mine from 11Mtpa to 22Mtpa, reports Reuters.

The expansion will include construction of a new $4.4bn coal terminal at the northern port of Nacala and a 912 km rail line connecting the coal mine with the port, which will partially pass through Malawi.

The port and the line will have an initial capacity of 18Mt to meet firm’s increasing demand for exports.

About 70% of the coal coming from the expansion will be coking coal, and the remaining will be thermal coal.

First production from the expanded mine is expected to start in the second half of 2014.

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

 

Mining Technology Excellence Awards - Have you nominated?

Nominations are now open for the prestigious Mining Technology Excellence Awards - one of the industry's most recognised programmes celebrating innovation, leadership, and impact. This is your chance to showcase your achievements, highlight industry advancements, and gain global recognition. Don't miss the opportunity to be honoured among the best - submit your nomination today!

Nominate Now