CVRD settles iron ore and pellet prices with Chinese mills

Brazilian iron ore producer Companhia Vale do Rio Doce (CVRD) concluded iron ore price negotiations with Chinese steelmakers for 2006 contract year. The prices of iron ore fines, lumps and pellet feed (Carajas and Southern System) increased 19 percent year on year, while the price for blast furnace pellets (Sao Luis and Tubarao) decreased 3 percent. CVRD is continuing to expand its production capacity with currently seven iron ore and pellet projects, which will come on stream between 2006 and 2008.