Vale ship first iron ore batch from Amazon mine

Vale ship first iron ore batch from Amazon mine

Brazilian iron ore giant Vale (NYSE:VALE) has reported that it is ready to make its maiden commercial shipment from the S11D mine, the company’s largest ever iron ore operation.

26,500 tonnes of iron ore, extracted from the Canaã dos Carajás site in north-western Brazil was loaded onto three ships at the Ponta de Madeira port, in Sao Luis last week.

The surplus vessel capacity was filled with high-grade iron ore from other Vale mines in northern Brazil. Those mines’ output, with 65% of iron content, represent 40% of the company’s current sales.

The S11D mine is expected to reach full output by 2018 and will add 90 million tonnes to Vale’s total output by 2020.

Commenting on the shipment in a press release, Vale said: “The high quality of the ore extracted from the new mine will give flexibility to the company to blend it, in ports in Malaysia, China and Oman.”

Along with operations further south in the country, the mine at Carajás will strengthen Vale’s position as a market leader in the exportation of iron ore.

@RGNonline