Jindal Group Invests $160 Million to Build Africa’s First Fully Electric Coal Mine
Mozambique Secures $160 Million Investment as Jindal Develops Africa’s First Fully Electric Coal Mine
Indian billionaire Sajjan Jindal’s Jindal Group has committed $160 million to transform its Moatize coal mine in Mozambique into Africa’s first fully electric coal mining operation, marking a major step toward more efficient and lower-emission mining on the continent.
The investment will fund the development of a 300-megawatt power system to electrify mining operations, coal processing facilities and rail transport infrastructure at the Vulcan-operated mine in Tete Province.
Replacing diesel-powered equipment with electric systems is expected to reduce fuel consumption, improve operational efficiency and lower greenhouse gas emissions.
Vulcan, a subsidiary of the Jindal Group, acquired the Moatize coal mine and the associated 912-kilometre Nacala Logistics Corridor from Brazilian mining company Vale in 2022.
Since then, the company has increased production, reinforcing Mozambique’s position as one of Africa’s leading coal exporters.
The new power infrastructure will support mining operations, coal processing plants and railway transport. In addition to powering the mine, part of the electricity generated is expected to be supplied to Mozambique’s national grid, creating wider economic and infrastructure benefits.
Mozambique’s government has welcomed the investment as an important milestone in modernising the country’s mining sector.
The electrification project is expected to improve productivity, reduce dependence on imported diesel, enhance environmental performance and contribute to economic development in communities surrounding the mine.
The project highlights the mining industry’s growing focus on cleaner technologies while maintaining the production of key energy resources.
It also strengthens Mozambique’s appeal as a destination for large-scale mining investment, supported by its abundant coal reserves and well-established export infrastructure.
