CVRD slab joint venture deal not final
Brazilian mining giant Companhia
Vale do Rio Doce (CVRD) announced that the deal to establish a 1.5 million-ton
slab plant in Ceara state has not been completed yet.
CVRD, South Korean steel producer Dongkuk Steel Mills (DSM) and
Italy's Danieli signed a memorandum of understanding in March 2004 to invest $720 million in the
construction of a steel
slab plant called USC in Cerara.
Brazil's national development bank BNDES would provide $110 million of the total investment.
CVRD officials announced that the company plans to be a minority shareholder in the joint venture and will supply
iron ore to the plant.
Production at the plant is expected to start in 2008.