June 4 (Bloomberg) -- Vale SA, the world’s largest iron-ore producer, will move coal by road and not rail from its $1.7 billion Moatize mine in northwestern Tete province, state- controlled Radio Mozambique reported today, citing Transport and Communications Minister Paulo Zucula.
The Rio De Janeiro-based company had planned to use rail transport but opted for trucks after the completion date for repair works to the Sena railway that serves the mine was pushed back to September from March, the Maputo-based broadcaster said.
Vale said on May 8 that it had started operations at the mine and will export coal through the central port of Beira.
The Indian group Rites and Ircon in 2004 won the contract to repair the Sena railway after the lines were extensively damaged during the southern African country’s 16 years of civil war that ended in 1994, said Radio Mozambique.
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