Coal India To Soon Start Mining In Mozambique

Coal India To Soon Start Mining In Mozambique In order tackle the current issue of crippling power production in India, Coal India will soon start mining in Mozambique, which, along with the projects of the Adani group in Australia and Sanjiv Goanka in South Africa. The move will increase supplies of the dry fuel in the sub-continent.

Within the next three-four years, all of these projects are set to start supplying coal to India. According to an analysts with a ratings firm, "If all clearances are in place, five years is more than enough time to start production at a coal mine. Going by that calculation, if private coal producers can adhere to their production schedules, the imported coal could turn out to be in excess of requirement."

A a senior Coal India official told The Economic Time, "The final phase of exploration for Coal India's A1 and A2 mining blocks at Tete Province in Mozambique is complete. Coal sampling is in progress. Geological report and detailed project report will be prepared. We hope to start mining within six months to a year."


It is important to note that Coal India Africana venture was floated by CIL in Mozambique after it acquired coal blocks in the African nation's north western Tete province. In August 2009, it won a five-year licence for exploration and development of two blocks.
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