JSW Steel to Acquire Majority Stake in Mozambique’s Minas de Revuboe
Indian multinational JSW Steel has approved the acquisition of Minas de Revuboe (MDR), a mining company in Mozambique’s central province of Tete, to secure high-quality coking coal for steel production.
JSW Steel’s subsidiary, JSW Natural Resources Limited, will purchase a 92.19 percent equity stake and shareholder loans of MDR for $73.75 million, as reported by the Indian news agency IANS.
This acquisition will provide JSW Steel access to premium hard-coking coal reserves in the Moatize Basin, a significant coal-producing region in Tete.
The acquisition is subject to approval from Mozambique’s Ministry of Mineral Resources and Energy and other relevant authorities.
Indian steel companies consume approximately 70 million tonnes of coking coal annually, with about 85 percent of this requirement met through imports from countries such as Australia, Indonesia, Russia, the USA, and Canada.
The recent increase in coking coal prices has impacted the profitability of steel companies, making this acquisition strategically important for JSW Steel.
