CVRD opens iron ore mine in Brazil

CVRD (Companhia Vale do Rio Doce) began expansion of the Brucutu mine in Minas Gerais state, Brazil on Thursday, with expected annual iron ore tonnage to reach 30 million. As the world's largest iron ore miner and Brazil's largest iron ore exporter, CVRD invested $1.1 billion into the first phase of the project, which included an ore concentrator and railway loading terminal that will boost production capacity to 12 million metric tons per year. In the third quarter of 2007, it expects to have an annual output of 24 million tons and reach the full capacity in 2008. Carajas, another mining complex in Brazil, owns four individual mines and has a larger complex than Brucutu. However, Brucutu will produce more iron ore than Carajas did at similar stages of development.