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Moz to launch state mining firm

Jun 03 2009 15:41

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Maputo - Mozambique has approved the creation of a state mining company that will explore and market its untapped mineral resources, a cabinet spokesperson said.

"The government has approved the creation of Mozambique Mining Exploration Company (EMEM, SA)," Luis Covane told a media briefing late on Tuesday.

"EMEM's principal objective is to explore geological mining, production and trade of mining products, the trade of raw material with mining utility, advising, consulting and undertaking research and prospection of mining resources."

EMEM, SA becomes the country's first state company to be licensed in the mining industry.

"We have reached a stage were we cannot just be regulators. The state also wants to participate in the research, production and trade of mining resources," Covane said.

Mozambique has been encouraging foreign companies to invest in its mining industry after the decades-long civil war resulted in large-scale damage to infrastructure, and the region's mineral wealth was all but ignored.

Significant investments resumed after hostilities ended in 1992.

- Reuters

 
 
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