The city is located in the district of Moatize, a few kilometers from the city of Tete on the opposite, left Zambezi river.
Moatize has 30,000 inhabitants ( 2006).
It is estimated that at Moatize with about 2.5 to 3 billion tons of the largest coal reserves are located in Africa. To promote it, the railway line from Moatize by Dona Ana to be completely renewed at the track Blantyre and Beira the road. The Brazilian Companhia Vale do Rio Doce ( CVRD ) and American Metals and Coal International ( AMCI ) has awarded the contract for the exploitation of these resources for 122.8 million U.S. dollars. The CVRD owns 95% and the AMCI with 5%. The CVRD has also provided 6.7 million dollars for social projects in Moatize, in order to improve the health, education, orphan care, the city administration and food security in Moatize. In addition, the infrastructure is to be renewed. The CVRD will invest one billion U.S. dollars and run coking coal to Brazil for the local steel industry and coal in the Republic of South Africa for energy. In the north of Beira should arise for a new export port.
The GDR also had close relations with the People's Republic of Mozambique, whose Liberation Front FRELIMO had been militarily support even before the independence of the GDR. Starting in 1977, the establishment of a broad economic cooperation was sought. The coal mines of Moatize had been nationalized in the following year after a DDR relief after mine disasters in 1977, the funding should be divided equally between the GDR and Mozambique.
The GDR had to be backed up so that potential coal imports of around 250,000 tonnes per year, but made until early 1979 serious quality problems in the coking resistant. Since the international creditworthiness of the Mozambican government on the production progress depended in Moatize, this result was disastrous for both sides. Moatize was the only major colony of East German citizens abroad; East German workers were, however, rigid foreclosed. Under these circumstances, a latent racism had, according to the historian Döring developed. At the beginning of the 80's cooled off relations with Mozambique and were handled downright after 1983, including the GDR presence in Moatize.
In Moatize, there are two primary schools and a secondary school. It has a going back to the foreign policy cooperation with the DDR School of Mining Engineering and lithology, which is currently not yet organized again. This will most likely change in the near future when the coal production is recorded.