Things beginning to look up for Brazilian miner in Mozambique – by Keith Campbell (MiningWeekly.com – December 15, 2016)

http://www.miningweekly.com/

In a recent presentation to the NYSE, Brazilian major mining group Vale reported on progress at its Mozambique operations. These comprise the Moatize coal mine and the Nacala Logistics Corridor. Moatize is primarily a metallurgical, or coking, coal mine, while the Nacala Logistics Corridor is composed of new and refurbished railway lines linking Moatize (and the city of Tete) to the port of Nacala, via Malawi, as well as a coal terminal in that port.

Overall, the group’s Mozambique operations saw their costs and expenses, net of depreciation, fall by 14% during the first nine months of this year, compared with the first nine months of last year. Their adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) increased by more 30%, from minus $366-million to minus $247-million over the same periods.

Production Up Again, during the first nine months of this year, Moatize’s production was up 4%, compared with the same period last year.

Production in the third quarter for this year jumped by 40% in relation to the second quarter of this year. In September, as a result of improved availability and use of equipment and an increased throughput, the mine set a new monthly production record of 756 000 t.

The mine’s Phase 2 coal handling and processing plant started operation in August, and produced 129 000 t of coal that month, increasing to 169 000 t in September. This latter figure marks a run-rate that would produce 2-million tons/year (Mt/y). Vale expects the plant to reach an 18-Mt/y run-rate by 2018.

For the rest of this article, click here: http://www.miningweekly.com/article/things-beginning-to-look-up-for-brazilian-miner-in-mozambique-2016-12-16

Comments are closed.