Brazilian tycoon Eike Batistas MMX Mineracao &
Metalicos SA has sold a controlling 65-percent stake in the
Sudeste Superport in Brazils Rio de Janeiro state to
Dutch trading giant Trafigura Beheer BV and Abu Dhabi
investment firm Mubadala Development Co. PJSC.
The $400-million sale
of the Sudeste iron ore port, just over 31 miles from Rio
de Janeiro, is expected to be completed by year-end, the
companies said Oct. 14.
MMX signed a sales
agreement in September with Mubadala and Trafigura warehousing
subsidiary Impala. The transaction will see Trafigura and
Mubadala take on debt of 5.67 billion reais ($2.49 billion) in
return for the stake.
The completion of the
sale is subject to regulatory approval and the execution of
agreements relating to debt held by Batistas MMX mining
group, Trafigura said in a statement on its website.
Under the terms of the
agreement, all of MMXs 3.2 billion reais ($1.4 billion)
in debt will be transferred to the port.
The Sudeste terminal
is designed to handle capesize vessels and has an initial
capacity to handle 50 million tonnes of iron ore per year, with
development plans to double its capacity.
Construction work on
the port began in July 2010, with commercial operations
expected to begin in mid-2014.
Brazils MMX in
June said it was evaluating business opportunities, including
the possible sale of shares and assets. This also had
reportedly included talks over the sale of the iron ore
amm.com, June 25).
A version of this
article was first published in AMM sister publication Steel