Wisco acquires shares of coal mine in Mozambique

Wisco acquired a 40 percent stake in the Zambeze coal mine in Mozambique for $800 million from Australian miner Riversdale. In addition, Wisco purchased a stake of 8 percent in Riversdale for A$10 per share. According to the agreement, Wisco has the right to purchase 40 percent of Zambeze's output at spot prices. The agreement allows the mill the right to purchase 10 percent of the coking coal reserves of the Benga coal mine. The group expects to use the coal resources obtained from the Zambeze mine, valued at $2 billion, to meet the demands of its new steel factories in south China and Brazil.