Parliamentary Secretary for Foreign Affairs Richard Marles and Mozambican Foreign Affairs and Cooperation Minister Oldemiro Baloi signed the MoU yesterday as Australia worked to help Mozambique sustainably manage its mineral resources and ensure that mining revenue supported development.

Since 2009-2010, Australia has provided more than $50 million in development assistance to Mozambique with a focus on improving water and sanitation service delivery.

The largest project announced, with funds totalling nearly $675,000, is a Murdoch University study looking into how best to leverage mining and agriculture investment for mutual benefit and equitable profit sharing.

Other projects include a Columbia University study investigating how to develop an economically, legally and operationally rational framework to enable shared use of mining-related infrastructure for broader economic development, as well as University of Sydney research into how Australian scholarships help Africans when they return home.

Marles said the Australian government was working closely with the government of Mozambique to help the African nation maximise economic growth from its mining industry.

“The partnership will improve technical and vocational education as well as research delivered in response to mining industry demands,” Marles said.

“The aim is to increase employment opportunities for local people and improve participation in the industry.”

Marles said the partnership should also help improve planning and coordination of resource and related infrastructure developments, which is a serious concern for Mozambique, as infrastructure planning in small towns and growth centres along resource corridors is a key issue for the country.

A number of Australian companies are engaged in mining activities in Mozambique, most notably Syrah Resources whose Balama graphite project in the northeast helped the company’s share price climb from 17c last January to $2.93 this morning.