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The state-owned Ports and Railways of Mozambique company (CFM) will run the northern port of Nacala from January, when the Northern Development Corridor (CDN) concession ends, the government announced on Tuesday.
“Commercial operation of the port service within the perimeter of the Nacala Port Concession will become the responsibility of Ports and Railways of Mozambique,” a statement announcing the decisions of yesterday’s Council of Ministers meeting reads
CDN is a public limited liability company incorporated and registered in Mozambique, whose goal is the integrated management, rehabilitation and commercial operation of the infrastructure of Nacala port and the northern railway network through concessions which began in January 2005.
The rail system concession is valid for 30 years, while that of the port of Nacala lasts 15 years, ending in January.
The extraction of coal in Tete province by Brazilian mining company Vale has made it viable to build a 912-kilometre railway, including a 200-kilometre stretch crossing Malawi, and a deep-water port in Nacala.
In order to be able to export by sea, Vale partnered with Japan’s Mitsui and the public company Caminhos de Ferro de Moçambique in an investment worth US$4.5 billion (about 4.067 billion euros).
Currently, the rail line carries all kinds of cargo and passengers to Lichinga, the capital of Niassa province, the most remote in Mozambique.
At the same Council of Ministers meeting yesterday, the cabinet approved the concession to Sociedade Rede Viária de Moçambique of several recently built roads.
These include National Road Number 6 (N6), which connects the city of Beira to the Zimbabwe border in Machipanda, as well as the Maputo Ring Road and Maputo-Katembe bridge and their connecting roads.
“The decree establishes the legal basis which allows the concession for expansion, operation, maintenance and return and restitution of road infrastructure,” the communique reads.Source: Lusa
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