In Mozambique, the amount of coal being moved by the so-called Northern Corridor will greatly increase as of 2018. The aim is to increase the current annual movement of 8mt (million tonnes) to 22mt.

This will be achievable thanks to the signing of three contracts amendments covering both the North Logistics Corridor (CLN) and the North Development Corridor (CDN). These new agreements, which were signed between the government, the Brazilian operator Vale and Mozambique Ports &

Railways authority, will ensure that investments made by concessionaires will become viable. A total of $3 billion is being invested in the Northern Corridor.

In future,Vale will be exclusively responsible for securing finance to guarantee operations on the rail link between the mines at Moatize and the Port of Nacala. Henceforth, all international movements of coal along this line will become more competitive. Above all, Malawi will become a direct beneficiary of the upgrade, given that coal trains from Moatize need to cross its territory in order to reach the coast. These make use of a 1,000km line that was built by the operating consortium.