- Write by:
-
Wednesday, May 8, 2019 - 10:37:31 AM
-
606 Visit
-
Print
Mining News Pro - Australian iron ore stocks have responded strongly following news that Brazilian courts have again stopped Vale from operating the Brucutu mine.
According to Mining News Pro - The verdict was confirmed by a Vale company statement and is the latest development in the Brazilian company’s struggle to resume operations at the site.
Brucutu was closed in early February in the wake of the Bruhmadinho tailings dam collapse that left 134 dead and a global supply shortage of iron ore.
Generally, Brucutu produces 30 million tonnes of iron ore a year and is considered a significant source of the commodity.
Despite the decision, Vale reaffirmed its 2019 iron ore and pellets sales guidance to remain within the range of 307 and 332 million tonnes, saying that its current sales volume expectation is between the bottom and middle range.
The decision has had implications for global iron ore supply, with investors backing Australian iron ore miners to respond to the shortage.
Fortescue Metals Group was the biggest beneficiaries from the news with shares jumping 6.3 per cent to $7.60 while Rio Tinto shares increased by 2.3 per cent.
The Brucutu mine is the largest in Minas Grais state and the verdict also bans Vale from storing tailings in the Laranjeiras dam at the site, which forms part of the firm’s Minas Centrais complex.
Vale reiterated that the Laranjeiras dam and its other geotechnical structures at Brucutu have valid declaration of stability issued by external auditors in March 2019.
The Vale statement said the company was taking “the appropriate measures related to the decision.”
Short Link:
https://www.miningnews.ir/En/News/371992
Oxford Economics Australia has released data showing mine maintenance spending may be hitting its peak. But what does it ...
Iron ore futures fell to their lowest in more than two weeks, pressured by an inventory accumulation at Chinese ports ...
Anglo American’s key South African shareholders are open to a takeover offer from BHP, with some advocating for an ...
Japan’s top steelmaker, Nippon Steel, is sticking to its plan to close a deal by year-end to buy US Steel, which it ...
Anglo American’s key South African shareholders are open to a takeover offer from BHP, with some advocating for an ...
Australia will spend A$566 million ($373 million) over the coming decade to map out resource deposits with a focus on ...
A Brazilian federal court rejected a request made by the country’s solicitor general’s office asking that miners Vale, ...
Imports of iron ore by China, the world’s biggest buyer, in 2024 are expected to be around 1.17 to 1.18 billion metric ...
BHP’s plan to divest the South African assets of its target Anglo American are key to the strategy behind the proposed ...
No comments have been posted yet ...