Mining boom drives equipment demand, services


INCREASED ACTIVITY An uptick in mining activity in northern Mozambique is being driven largely by rising global demand for minerals essential to the energy transition
On the back of a surge in mining activity, particularly in the graphite and gold sectors, Mozambique-based mining equipment supplier and maintenance partner Choice Diesel reports growing demand for heavy equipment and related services in the country’s northern regions.
This uptick in mining activity in northern Mozambique is being driven largely by rising global demand for minerals essential to the energy transition, with graphite in particular gaining attention, alongside the region’s abundant coal reserves and other valuable mineral resources.
“We have seen a lot of changes and growth in the north of Mozambique . . . [we] set up our head office in Maputo in 2006 [and this has] enabled us to gain a unique understanding of the needs in this vast and complex region,” says Choice Diesel group MD Wayne Greenwood.
He notes that, through this presence, the company has been able to identify the key challenges currently faced by mining com-panies operating in these areas and is actively working to close service gaps and provide fit-for-purpose solutions for their current clients, such as products from equipment manufacturers Allison, Firematic Africa, Iveco, Kalmar, Manitou, Mitsibushi Forklifts, Hitachi and Powerstar.
However, Greenwood cites difficulties in delivering equipment and parts to remote mining operations, as well as challenges involving accessing foreign exchange currency to trade in Mozambique, thereby making it difficult to pay for imports, service foreign debt and carry out international transactions.
Nonetheless, he says Choice Diesel has measures in place to manage these constraints, including careful stock planning and having a branch in neighbouring South Africa.
“For our partners in mining, at the ports and other key retail and manufacturing locations, we have set up dedicated teams on our clients’ premises, in addition to parts stores with stock to ensure effective maintenance, a reduction in downtime and thus an improvement in our clients’ efficiencies.”
Another major issue, Greenwood highlights, is the availability of spare parts.
In this regard, he notes that poor infrastructure in northern Mozambique, such as under- developed roads, limited ports and inadequate logistics hubs, makes the transportation and delivery of spare parts slow and costly.
Such delays, notes Greenwood, can have severe implications for operations dependent on diesel-powered equipment.
To address this, Greenwood says Choice Diesel continually refines its supply chain model to expedite parts delivery to its branches and clients, thereby supporting reliable maintenance services and helping clients sustain productivity.
“After-sales service is important in any industry but, in the industries that we service, the ability to keep ‘wheels on the road’ can make or break a business. The spare parts and maintenance arm of the business was started purely to support our original equipment manufacturer sales,” says Greenwood.
Uprooting Unrest
Recent political unrest in the wake of Mozambique’s controversial elections towards the end of 2024 introduced a new layer of complexity that Choice Diesel has had to navigate, says Greenwood.
Between October and December 2024, the Mozambican mining sector faced significant disruption owing to this political instability with a period marked by widespread protests, including attacks on economic infrastructure, such as mining sites.
These events, coupled with broader civil unrest, led some mines to downscale or shutter operations for safety reasons.
“We were most affected by border closures and the fact that our staff could not move freely when we were required to assist with maintenance requests,” Greenwood recalls, adding, however, that Choice Diesel’s 35-year operating history in the region enabled the company to leverage its deep geographic and environmental knowledge to identify alternative routes and continue delivering services.
“We carefully planned all of our shipments and maintenance requests, and organised accommodation in advance for our onsite technicians.
“Our strong team of staff went the extra mile, where required, to ensure that our clients still received the same level of service they expect [during this period],” he says.
Greenwood adds that the unrest provided an opportunity to revisit and improve the company’s contingency planning, improving its capacity to respond flexibly.
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