Brazil logistics company LLX and Vale’s railway Ferrovia Centro Atlântica (FCA) are moving ahead with a study regarding the construction of a railroad that would connect LLX’s Açu Superport to Brazil’s rail network.
LLX and FCA have signed a new memorandum of understanding (MoU) this week to continue feasibility studies and analyze the licenses required for the railroad that would link Açu, in the north of Rio de Janeiro state, to existing railways.
The agreement was signed during a visit of Brazil’s president Dilma Rousseff to Açu works, LLX’s controller EBX said.
Both companies had already signed a MoU last year
A LLX’s executive told Metal Bulletin in July 2011 that the company was considering four railway options
to connect the port to the country’s existing railroads.
The most feasible would be to revamp FCA’s existing coastal line up to the city of Campos dos Goytacazes, with the installation of a third rail that would cost nearly 1 billion Reais ($530 million).
The railway track would be 45km long.
Açu is expected to come on stream in 2013.
It will be able to ship up to 60 million tpy of iron ore and 10.2 million tpy of steel products, as well as unloading up to 12.6 million tpy of coal.
Besides controlling LLX, EBX also owns iron ore producer MMX.
Ana Paula Camargo