UltraTech in talks to buy Mozambique mine

Aditya Birla group's UltraTech Cement - India's largest cement maker, is in talks to acquire a large limestone mine in Mozambique for about INR1500 crore.

According to reports in the Economic Times of India, negotiations between the Mumbai-based company and the mine owner began two months ago and could subsequently result in UltraTech constructing a 1-2Mta cement plant in the southeast African country. Demand in Mozambique has been growing at 8-9 per cent annually, a source familiar with the development sent.

The limestone mine is located in the Magude region in southern Mozambique near the capital city of Maputo and has reserves of more than 700-800Mt of high-grade limestone, a source familiar with the Birla group plans disclosed.