Indian group Sarla will re-launch quarrying of marble deposits in Montepuez in Mozambique’s Cabo Delgado province, under the terms of an agreement signed last week with the government of Mozambique.
Signed by the Minister of Mining Resources, Esperanca Bias, the agreement includes an initial investment of US$10 million and later an additional US$20 million to US$25 million to build a plant to cut and polish the marble, as well as for production of building materials and decoration in Montepuez and Pemba.
To this end, the group established a partnership that has a 51 percent stake in Empresa Moçambicana de Exploração Mineira, on behalf of the state, with the remaining 49 percent.
The quarry is expected to start production in late 2015 and it in at full production is expected to extract about 10,000 cubic metres of marble per year, from an area of 880 hectares.
The partnership agreement was signed by Casimiro Francisco, president of EMEM, and Prabhat Jain, president of Sarla Group, which already quarries, processes and markets marble in Asia, Europe and North Africa.
On the same occasion, the Minister of Mining Resources signed a mining concession to explore coal in Tete province with China’s Kingho Mozambique Investment Co.
The contract provides for investment of US$146 million for annual production of five million tons of coal from an underground mine.