Brazil’s mining company Bamin has started iron ore production at its Pedra de Ferro mine in the state of Bahia and is expected to produce 1mn mt of iron ore in 2021.
The forecast for 2021 is below its annual output capacity of 2mn mt, according to media reports. Moreover, the company has indicated that it is planning to invest BRL 4bn ($736,7mn) to expand its iron ore capacity over the next five years.
Bamin is an integrated mining and logistics project that comprises Pedra de Ferro iron ore mine, the Porto Sul multi-use deep water port, and Stage 1 of the FIOL transcontinental railway. According to the company, the project, which is a high-quality iron ore deposit with 65pc Fe content, will be able to produce 18mn mt of iron ore per year once it is at full production.
Last year, Brazil exported about 341.6mn mt of iron ore, up 0.3pc from 340.5mn mt shipped in 2019, according to the Brazilian Mining Association (Ibram).
The South American country’s mining industry expects to invest BRL38bn between 2020 and 2024. Of this amount, about BRL15.5bn will be used to develop iron ore projects across the country, Ibram noted.