The island is part of a marine national park, and its airstrip will link the resort it to both Maputo and South African airports.
Once completed the new complex will provide 50 hotel rooms, restaurants, and all the other facilities demanded by visitors to high quality resorts.
The project will be a joint venture with Echo Delta Holdings, which is owned by the Zimbabwean tycoon John Bredenkamp. Echo Delta has several other tourist facilities in Mozambique, and owns the concession to develop tourism on Santa Carolina.
Echo Delta bought the concession rights in February 2006 in a deal with the Mozambican government's Institute for the Management of State Holdings (IGEPE). Echo Delta agreed to pay the Mozambican state 1.2 million US dollars for the Santa Carolina assets.
In addition to the 50 rooms of the hotel, a further 40 villas are to be built and sold on a time-share basis.
Building on the Island is due to begin early next year, and Rani plans to open the resort in 2009.
Meanwhile, reconstruction is still underway at Rani's other Bazaruto Archipelago resort at Indigo Bay, which was severely damaged by Cyclone Flavio in February. It is expected that 30 beach chalets will be reopened in July, with other suites opening during August.
Rani also runs destinations at Matemo Island and Medjumbe Private Island in the Quirimbas Archipelago, the Pemba Beach Hotel and Lugenda Wilderness Camp in Niassa Province, all in the north of the country.
SOURCE: AIM