JSW Steel, India’s leading steel company, is ready to move ahead with its 74 million USD purchase of a coal mine in Mozambique. The deal hit a rough patch when the Mozambican government, under former President Filipe Jacinto Nyusi, yanked the mining rights from the seller, Minas de Revuboe (MdR). But on April 15, 2025, the new government led by President Daniel Chapo gave MdR its mining license back, clearing the way for JSW to tap into an estimated 280 million tons of top-grade coking coal a key ingredient for making steel.
For JSW Steel, headed by billionaire Sajjan Jindal, this is a game-changer. Coking coal is a major expense in steel production, and India, the world’s second-biggest steel producer, relies on imports for 85% of it, mostly from Australia. Owning this mine means JSW can cut costs and avoid the ups and downs of global markets. It’s part of their bigger plan to lock in their own coal supplies, with mines already in the US, Australia, and South Africa.
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The road to this deal was bumpy. The Mozambican government tried to hand the mining rights to Stonecoal SA, a company connected to Jindal Steel & Power, run by Sajjan’s brother, Naveen Jindal. That sparked a legal showdown, with MdR fighting back in Mozambican courts and through arbitration in Geneva. Now, with the license restored, JSW has an extra five months to wrap up the deal.
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“We are pleased with the outcome and express our gratitude to the Mozambican government,” said a spokesperson for the estate of Ken Talbot, the late Australian mining tycoon who owned MdR. This deal sets JSW Steel up to meet India’s booming demand for steel while securing a steady, affordable supply of coal for years to come.
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