Mozambique Mining: Coal India awaits exploration rights for Mozambique coal blocks – reports

Coal India Offices, India
Coal India Offices, India

State-owned Coal India Ltd (CIL) is awaiting a response from the Mozambique government for exploration rights for new prospective coal blocks in the country. “A request has been made to government of Mozambique for allocation of exploration rights of new prospective blocks but no response has been received till date,” according to India Coal Ministry’s Annual Report 2016-17.

Coal India Africana Limitada (CIAL), a wholly-owned subsidiary of CIL was granted prospecting licenses for two coal blocks, covering a total area of 224 sq km by the Ministry of Mineral Resources, Government of Mozambique.

The mineability study report revealed that the coal blocks were techno-economically not viable for commercial mining, it said.

The report was considered by the CIL board which approved complete surrendering of the prospecting licenses.

The government of Mozambique accepted the application for relinquishment of the said licenses, it added.

The final Geological Report (GR) of the two allocated coal blocks in Mozambique were prepared based on the outcome of the exploration programme carried out in the period from 2012 to 2014.

“Based on the findings of the exploration programme, a total of 170 sq km (approx) where even the topmost coaly horizon was not found up to the depth of 500 m was surrendered,” it said.

The government of Mozambique issued prospecting licenses for remaining 54 sq km area, valid up to August 6, 2019.

Based on the geological report, mineability study to assess the techno commercial viability of mining on the 54 sq km area was also conducted, it added.(Source: PTI-Press Trust of India)

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