ArcelorMittal, the world's largest integrated metals and mining company, has announced that it has signed an agreement with the Brazil-based mining company Mineração Pirâmide Participações Ltda (MPP) for the acquisition of 49 percent of its share capital.
MPP is located in Corumbá, State of Mato Grosso do Sul, Brazil, and is focused on the exploration and development of iron ore and manganese reserves in the region.
The price to be paid by ArcelorMittal will be calculated based on the amount of iron ore and manganese reserves "in situ", assessed according to the Code for the Reporting of Mineral Resources and Ore Reserves of the Australasian Joint Ore Reserves Committee (JORC).
Furthermore, ArcelorMittal plans to make additional investments in order to increase in the short term the iron ore production capacity at MPP.
The transaction is subject to receipt of the relevant regulatory approvals.