SHANGHAI Brazilian miner
Vale SA is losing $2 to $3 per tonne on iron ore shipped to
China due to a port ban on its Valemax vessels, according to
Jose Carlos Martins, the companys iron ore chief.
Having the vessels dock in China
would save the worlds largest iron ore producer $6 per
tonne in shipping costs compared with using smaller ships to
transport the steelmaking raw material, media reports quoted
Martins as saying.
The companys distribution
point for its Valemax shipments is the Philippines Subic
Bay, where the vessels transfer iron ore to smaller ships for
distribution to China.
But Vale appears to be confident
that it will receive the green light from Chinese authorities
next year for its Valemax vessels to dock at the countrys
ports. "The Valemax logistics are ready. Negotiations for
start-up in China are being conducted at a diplomatic level,
and also with ship owners, ports and clients," Vale said.
The Valemax vessels can carry up to 400,000 tonnes of iron
ore. Rio de Janeiro-based Vale ordered a fleet of the vessels
to compete with its Australian rivals, who have freight
A version of this article was first
published by AMM sister publication Steel