India, like China needs vast sources of energy to continue it’s economic growth. Naturally India is seeking energy resources aroundthe world, especially in the Middle East and Africa. From seeking oil cooperation in Angola, India is on the look out for new sources to continue driving its economic engine, and Mozambique might help.
State-run Coal India Limited (CIL) plans to export 10 million tons
of coal from Mozambique toIndia in the next 10 years from its two mining concession blocks in the southern African country, a top official said on Sunday.
CIL’s director for central mine planning Marinder Khurana also said his company would ask Mozambique for five more licence blocks in a strategic bid to meet India’s fast-growing domestic demand for energy.
“We have two blocks now and we will ask for five mnore blocks,” Khurana told Reuters on arrival in Maputo as part of an Indian delegaton that included Coal Minister Sriprakash Jaiswal.
“We are looking at an output of 10 million tones of coal when operations ramp up in five years and Coal India Ltd intends to invest $400 million in the two coal blocks if exploration comes right,” Khurana said.
Coal India will employ 3,000 people in Mozambique on its two blocks and will also help build infrastructure such as a railway, Khurana said.
The Indian delegation is exploring coal mining opportunities in South Africa, Zimbabwe and Mozambique, a major destination for coal-hungry companies world-wide, Jaiswal said.
“Mozambique, South Africa, Australia, Canada and the USA are our target priority right now to acquire more coal assets,” Jaiswal said.
“We want more Indian companies to invest here because we have a serious shortfall in terms of supply.”
Expect more investments by India all over Africa as it seeks resources at the same if not at a faster pace than China.