Africa Coal Commodities Mozambique Natural Resources

Vale Mozambique down US$277M in Q2

The Brazilian company Vale recorded a negative net result of US$277 million (€234.7 million) at its coal mine in Mozambique in the second quarter of this year, a press release from the company reveals.

The report states that the drop in performance between April and June represents US$39 million (€39 million) less than the first quarter.

The result in the second quarter was influenced by the depreciation of the average coal price, due to the lower sales volume, and by fixed maintenance costs.

“The second quarter of 2020 proved to be challenging for Vale Mozambique, given the global situation resulting from the impact of the pandemic caused by the new coronavirus,” the statement reads.

Coal production at Vale’s mine in Tete fell by one million tonnes in the second quarter, to 1.3 million tonnes, 35% less than the production achieved in the first three months of the year.

Also Read: Global coal power falls for first time even as China builds more

Mozambique had by Thursday (August 13) recorded a cumulative total of 2,638 Covid-19 cases, and 19 deaths.

The Covid-19 pandemic has already claimed more than 750,000 lives and infected almost 21 million people in 196 countries and territories worldwide, according to a report by the French AFP news agency.

The disease is transmitted by a new coronavirus detected in late December in Wuhan, a city in central China.

After Europe succeeded China as the centre of the pandemic in February, the American continent now has the most confirmed cases, and the most deaths.

Source: Lusa via Club of Mozambique

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