Brazilian steel producer CSN and its iron ore mining associate CSN Mineração announced the celebration of $1.4 billion financial loan with a group of banks, headed by the Japan Bank for International Cooperation (JBIC). The duration of the contract was established at 12 years.
According to CSN, the proceeds of the loan will be used in the expansion of the pellet feed grade iron ore production of the Casa de Pedra mine, located in the southeastern state of Minas Gerais.
The expansion will include the construction of a new iron beneficiation plant in the mine.
CSN added that the conclusion of the operation will depend on the celebration of an offtake supply contract with an undisclosed Japanese customer.
CSN mentioned that the supply of such high-grade iron ore to the steel industry will help its customers in their objectives of reducing CO2 emissions.