Coal
Transport Infrastructure
On 17 December 2011, Beacon Hill's first export shipment departed from the Port of Beira.
The Group's first shipment of 10,650 tonnes of thermal coal produced from Minas Moatize was trucked to the Port of Beira ahead of being loaded onto the MV Aztec Maiden and shipped, marking a key milestone for the Group.
The trucking operation is being operated by a local Mozambican trucking contractor, initially using a fleet of 40 trucks, each carrying approximately 36 tonnes of coal. The trucking solution will allow the transport of up to 0.5Mtpa to the Port of Beira for future shipments, which is more than sufficient for its planned production over the next 18 months. The Group intends to continue using this trucking solution that has worked effectively, pending the commencement of the transportation of coal via the Sena Rail Line, which remains the Group's longer term preferred transportation solution.
Significant progress continues to be made regarding the Sena Rail Line. Minas Moatize continues to work with the Government of Mozambique alongside Vale and Rio Tinto to complete the refurbishment of the Sena Rail Line to an initial capacity of 6.5Mtpa in mid-2012 and then to a fully operational capacity of 12Mtpa later in the year. These discussions are progressing well and the Group remains confident of attaining an allocation to the line in 2012 which will allow it to further ramp up coal production.
Logistical Infrastructure
