Vale suspends Mozambique coal rail following train attack

miércoles 2 de abril de 2014 19:22 GYT
 

MELBOURNE, April 3 (Reuters) - Brazil's Vale SA has suspended operations on its Moatize-Beira coal rail line in Mozambique after one of its trains was hit by gunfire, the company said late on Wednesday.

Several bullets hit a train on April 1, injuring the driver, Vale said in a statement emailed to Reuters in Brazil, adding that only Mozambique authorities could comment further on the attack.

"Operations on the line are temporarily suspended to best allow ongoing investigations," Vale said.

Coal exporters in Mozambique, led by Vale and Rio Tinto , have faced a range of challenges trying to get coal out of the country where they have planned to invest more than $10 billion.

Vale booked a loss of $480 million on its coal business in 2013, mostly from Moatize in Mozambique, hit by a sharp rise in rail usage fees and export disruptions due to security threats, while coal prices slumped.

(Reporting by Sonali Paul)