The Zambeze Project is coal project being considered by the Australian coal company, Riversdale Mining. The project adjoins the Benga coal mine, which is currently under construction.
On its website the company states that the project has a "a coal resource of 9 billion tonnes has been identified. The Zambeze Project is similar in structure to Benga with 22 coal seams outcropping over a strike length of 14 kilometres across the northern portion of the tenement. In June 2010 Riversdale signed a non-binding Memorandum of Understanding (MoU) with Wuhan Iron and Steel (Group) Corporation (WISCO) and a logistics partnership agreement with the China Communications Construction Company (CCCC) for the development of the Zambeze Project. The MoU provides for the acquisition by WISCO of 40% of the Zambeze Project for a total consideration of US$800 million to be paid in three tranches and subject to achievement of certain milestones. Completion of the transaction is scheduled for October 2010 and will value the Zambeze Project at US$2.0 billion." The Zambeze Project is estimated to have reserves of 1.7 billion tons, may produce 42 million tons a year, rising to as much as 90 million tons of unprocessed coal, making it one of the world’s largest coal mines.
Articles and resources
- ↑ Riversdale Mining, "Mozambique Tenements", Riversdale Mining website, accessed January 2011.
- ↑ Carli Lourens, "Rio May Add 25 Million Tons of Mozambique Coal Through Riversdale Takeover" Bloomberg, June 20, 2011.
Related SourceWatch articles