In Brazil, Porto Sudeste has revealed that it client Minerac¸a~o Usiminas (Musa) and declared its intention of terminating its contract that allows it to export iron ore at the port terminal, which is located in Itaguai´, in the state of Rio de Janeiro.
Porto Sudeste said that it intends to take all necessary means, including arbitration, to prevent this from happening.
The decision taken by Usiminas comes amidst a decline in iron ore prices and also after a delay in starting operations at the terminal, which is still awaiting a licence to begin activities. Currently, the port is due to start operating in the second half of the current year.
The existing terminal can handle up to 50 million tonnes of iron ore annually.
The port is owned by Trafigura and the Abu Dhabi investment fund Mubadala, which has a 65% stake, with other equity belonging to MMX.