Japanese steel company Nippon Steel & Sumitomo Metal has secured the mining concession from federal government of Mozambique for its Revuboe coal mine.
With this approval, the company plans to outline final development and investment program during the three-year period before the production begins in 2016.
The company claims that the project has large-scale deposits of high-quality coking coal to permit open-cut mining. It aims to produce 5 million tons of coking coal a year from the mine.
Nippon Steel & Sumitomo Metal along with its subsidiary Nippon Steel Trading owns 33% stake in the project.
The remaining ownership is held with Talbot Group and POSCO with 58.9% and 7.8% stake in the project, respectively.