Vulcan’s Mozambique Coal Mine Hit by Layoffs Amid Environmental and Market Pressures, JSPL to Buy More Australian PHCC

On April 18, 2025, Vulcan Mozambique, owned by India’s Jindal Group, revealed it will cut over 350 jobs at its Moatize coal mine in Tete province. The move follows a December 2024 court ruling that halted operations in parts of the mine over serious pollution concerns. Around the same time, workers launched a strike over poor working conditions and environmental harm. Although Vulcan hasn’t officially linked the job cuts to any specific cause, the combination of environmental orders, labor unrest, and declining global coal prices likely influenced the decision. These pressures suggest deeper challenges for the mine’s continued operations.

It's possible that JSPL, which had cut its reliance on Australian coking coal by over 50%, may now need to reverse course due to disruptions at its Mozambican mines, including layoffs and legal issues. With local supply threatened, the company is likely to increase imports of Australian premium hard coking coal to maintain operations.