Mozambique Approves Riversdale Coal Mine

Riversdale plans to produce 20 million metric tons a year (mtpy) from the coking and thermal coal project and will also build a 2,000-megawatt power plant. Riversdale has predicted the Benga project will produce some of the lowest-cost coking coal in the world. The company estimates the mine’s initial reserves at 273 million mt to 181 million mt of proved reserves and 92 million mt of probable reserves. Riversdale holds a 65% stake in the mine and Indian firm Tata Steel 35%. The two companies plan to develop the project in three stages, beginning production at 5 million mtpy and ramping up to 20 million mt as Mozambique’s transportation infrastructure improves.