US$ 4 billion for Brazilian ports
06 October 2008
Brazilian mining company, Rio de Janeiro-based Vale has announced it plans to spend US$ 4 billion expanding its port facilities between 2008 and 2012.
In a statement, director of ports and shipping, Humberto Freitas, said, "Everything will double, including our export capacity."
About US$ 3.6 billion will be spent improving facilities at the Ponta de Madeira port in Maranhão state, which will facilitate growth at Vale's Carajás mine in neighboring Pará state, said the statement.
Shipments at the Ponta da Madeira port should reach 260 million tonnes per year in the next four years, up from the current 130 million tonnes. The investment will allow Vale to handle exports from its 250 million tonnes per year iron ore production at the Carajás mine, added the statement.
Vale also plans to increase capacity at its São Luis port from 130 million tonnes per year to 260 million tonnes in the next four years.
The company is also planning to build a new port complex in Espírito Santo state at an estimated cost of US$ 205 million. The port will handle steel and coal for Baosteel's local JV steel plant.
At Vale's Tubarão port, the company plans to invest US$ 177 million replacing machinery and expanding capacity from 100 to 120 million tonnes per year, said the statement.
Vale is the world's largest iron ore producer. It currently employs 5900 in its port operations. By 2012 this is expected to rise to nearly 8000.
