Rio Tinto to pay compensation for Benga mine force majeure

Australian miner Rio Tinto's mining operations contractor South Africa-based Eqstra Holdings has said that Rio Tinto should not have declared force majeure on coal exports from its Benga mine in Tete province, Mozambique since the flood damage to the Sena railway line does not constitute a force majeure event in terms of its opencast mining contract with Rio Tinto.
 
Eqstra stated that it has come to terms with Rio Tinto for compensation of certain costs for the two-week period from midnight February 20 to March 6, 2013. Rio Tinto lifted the force majeure following the reopening of the railway line on March 4.
 
The Sena railway line was shut down in mid-February due to heavy rainfall.