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Released April 14, 2014 | JOHANNESBURG
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Written by Richard Finlayson, Senior International Editor for Industrial Info Resources (Sugar Land, Texas)--The development of Mozambique's vast mineral and energy resources depends, to a large extent, on the fast-track development of a transport infrastructure, which will strengthen the country's export potential.
The railway linking the new port and coal terminal at Nacala-a-Velha, in Mozambique's northern province of Nampula, to the Moatize coal basin is scheduled for completion in December this year.
Once the port and railway are completed, it will be possible to export 22 million tons of cargo through Nacala, of which 18 million tons will be coal, said Mozambique's Transport Minister Gabriel Muthisse.
Currently, exports from Moatize, in the western province of Tete, are all transported on the Sena rail line to the port of Beira. Even with an increase in handling capacity to 12 million tons annually, the Sena line will not be able to cope with Tete coal exports, which, in the medium term, could reach 100 million tons annually.
The Brazilian mining major Vale S.A. (NYSE:VALE) (Rio de Janeiro, Brazil) has funded the construction of the line from Moatize to Nacala, which includes stretches of line through Malawi. The line will re-enter Mozambique at Entre-Lagos in the Niassa province, and the existing northern corridor, which is being upgraded to handle the coal traffic.
By 2016, a 30-million-ton coal terminal at Beira will open. A new greenfield port will be built at Mucuse on the coast of Zambezi province, and another new rail line will link it to Moatize. This will add a further 30 million tons of coal capacity annually.
Export capacity at Maputo Port is being developed by a number of companies and is targeted for 50 million tons capacity by 2020.
"Our challenge is not just having facilities," Muthisse said. "It is to guarantee that they are managed in an efficient and competitive way. We don't want our national products to become uncompetitive because of our railways or our ports." He added that this would also mean keeping costs in line with those of the region and the world.
For related information, see March 18, 2014, article - Vale's Massive Mozambique Coal Mine to Take 250 Megawatts from Moatize Power Project, and September 5, 2013, article - Mozambique's Maputo Port on Expansion Roll with Ore, Coal and Auto Handling.
View Project Report - 300107478 300027517 300128132 84500031
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.
The railway linking the new port and coal terminal at Nacala-a-Velha, in Mozambique's northern province of Nampula, to the Moatize coal basin is scheduled for completion in December this year.
Once the port and railway are completed, it will be possible to export 22 million tons of cargo through Nacala, of which 18 million tons will be coal, said Mozambique's Transport Minister Gabriel Muthisse.
Currently, exports from Moatize, in the western province of Tete, are all transported on the Sena rail line to the port of Beira. Even with an increase in handling capacity to 12 million tons annually, the Sena line will not be able to cope with Tete coal exports, which, in the medium term, could reach 100 million tons annually.
The Brazilian mining major Vale S.A. (NYSE:VALE) (Rio de Janeiro, Brazil) has funded the construction of the line from Moatize to Nacala, which includes stretches of line through Malawi. The line will re-enter Mozambique at Entre-Lagos in the Niassa province, and the existing northern corridor, which is being upgraded to handle the coal traffic.
By 2016, a 30-million-ton coal terminal at Beira will open. A new greenfield port will be built at Mucuse on the coast of Zambezi province, and another new rail line will link it to Moatize. This will add a further 30 million tons of coal capacity annually.
Export capacity at Maputo Port is being developed by a number of companies and is targeted for 50 million tons capacity by 2020.
"Our challenge is not just having facilities," Muthisse said. "It is to guarantee that they are managed in an efficient and competitive way. We don't want our national products to become uncompetitive because of our railways or our ports." He added that this would also mean keeping costs in line with those of the region and the world.
For related information, see March 18, 2014, article - Vale's Massive Mozambique Coal Mine to Take 250 Megawatts from Moatize Power Project, and September 5, 2013, article - Mozambique's Maputo Port on Expansion Roll with Ore, Coal and Auto Handling.
View Project Report - 300107478 300027517 300128132 84500031
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.
