Jindal Group, a multinational conglomerate led by Indian billionaire Sajjan Jindal, is investing $160 million to transform its Moatize coal operation in Mozambique into what is expected to become Africa’s first fully electric coal mine, reinforcing the company’s long-term commitment to sustainable mining and infrastructure across the continent.

The investment will finance a 300-megawatt power system that will electrify mining operations, coal processing facilities and rail transport infrastructure at the Vulcan-operated mine in Mozambique’s Tete Province.

Replacing diesel-powered equipment with electric systems is expected to cut fuel costs, improve productivity and reduce greenhouse gas emissions while supporting more efficient mining operations.

Power project to benefit mine and national grid

The infrastructure will supply electricity to mining activities, coal processing plants and railway operations. Beyond supporting the mine, surplus electricity is expected to be delivered to Mozambique’s national grid, expanding power availability and creating broader economic benefits.

Mozambique’s Minister of Mineral Resources and Energy, Estevão Pale, said the transition to electric equipment would significantly reduce diesel consumption, lower operating costs and improve productivity while making mining operations more environmentally responsible.

Vulcan CEO Mukesh Kumar said the company is installing a 300-megawatt power plant, with around 90 megawatts allocated to mining operations, 30 megawatts for coal processing and approximately 100 megawatts dedicated to electrifying the rail corridor. The project is expected to make Vulcan energy self-sufficient while allowing excess electricity to be supplied to the country’s power grid.

Jindal Group deepens African footprint

The project strengthens Mozambique’s position as one of Africa’s leading mining investment destinations, supported by vast coal reserves, export infrastructure and growing demand for more sustainable mining technologies.

Vulcan, part of India’s Jindal Group, is an international mining and industrial company investing in large-scale resource development and sustainable steel production across Africa and Oman.

Founded in 1952 by Shri O.P. Jindal, the Jindal Group has grown into one of India’s largest industrial conglomerates with interests spanning steel, mining, energy and infrastructure. Its businesses include JSW Group, Jindal Steel & Power, and Jindal Stainless.

The group, controlled by billionaire Sajjan Jindal, expanded into Mozambique through mining assets in Tete Province, including the Chirodzi coal mine, before strengthening its presence with the acquisition of the Moatize project.

The latest investment underscores the company’s strategy of combining resource development with cleaner energy infrastructure, positioning Mozambique as a key hub in Africa’s evolving mining industry.