Botswana to export 130 million tons of coal

Botswana will export 130 million tons of coal after the completion of the proposed heavy haul railway network to sea ports in Walvis Bay in Namibia, Richards Bay in South Africa and Mozambique’s Ponta Techobanine, said a Gazette Business report carried by Hellenic Shipping News. Charles Siwawa, CEO of the Botswana Chamber of Mines, pointed out that the rails to these three destinations will not be built at the same time. He said the government is currently negotiating with all the other governments involved, but its talks with Namibia are at an advanced stage. “We hope to sign (with Namibia) in the first quarter of next year,” he said. The project, which will cost over R220 billion, will be funded entirely by the private sector. “We believe that we have enough coal resource to support all the three railway systems,” Siwawa said. Botswana boasts of an estimated 212 billion tonnes of coal reserves. He added that the 1 500km railway line to Walvis Bay will cost R110bn and the one to Ponta Techobanine, which will be 1 100km long, will also cost around the same figure. The funds will cover both the development of the railway lines and the ports. As for the Richards Bay route, he said that “the development will not be much for Botswana” as the country will only need to connect Mahalapye with Martins Drift and SA will take care of the developments on the other side of the border. However, they have not yet agreed with SA regarding the exportation of the 30 million tonnes of coal through Richards Bay but they are hopeful for a positive outcome. He said that SA is developing the port in Richards Bay. “Currently they can handle 90 million tonnes and they want to take it to 120 million tonnes. We believe that in that expansion they will find room for us.”