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lron ore railway construction interrupted in Brazil-铸件展-铸件采购会-国际铸件展-铸造工业展-2025第二十五届广州国际铸件产品及铸造工业展会-巨浪展览-The 25th China(Guangzhou) Int'l Casting Products ,foundry Industry Exhibition
4/7/2025 铸件展-铸件展会-casting expo-casting exhibition |
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The construction of the west-east integration rallway (FlOL) by iron ore producer, Bamin, has been halted by itscontroller, Eurasian Resources Group (ERG), due to ongoing negotiations for the sale of the project.Bamin confirmed the suspension of work, citing the search for investors for the project as the reason for thestoppage.
Alongside the railroad, which spans a total of 537 km, the project includes the expansion of the Pedra de Ferromine''s capacity from the current 1.0 milion mt per year to 20 milion mt per year, and the construction of an ironore sea terminal in lhéus, both located in the state of Bahia.
Additional resources required to complete the project are estimated at $5.0 billion.
The Brazilian government has suggested that iron ore miner, Vale, participate in the project, but the company isshowing low interest, mentioning that the evaluation is in a preliminary stage.
Analysts believe the project is not economically viable for Vale, considering that Bamin''s current annual capacityequates to roughly a single day''s production for Vale. They argue that Vale would rather invest in increasingcapacity at its own mines, which are already served by railroads and ports
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