EBX and Wuhan to complete steel mill deal by the end of the week

A joint venture between Brazil's EBX Investimento Ltda. and China's Wuhan Iron and Steel Co. (Wisco) is scheduled to be finalized on Friday, April 16 during Chinese President Hu Jintao's state visit to Brazil.

The deal, which was announced last November, includes the currently-under-construction steel mill at the Acu port complex.  Terms of the strategic partnership dictate a 30/70 percent stake split in the mill with EBX and Wisco respectively, and also a 20-year iron ore supply agreement between Wisco and EBX's sister company MMX Mineraceo e Metalicos S.A. that is expected to yield up to 16 million mt of iron ore per year.  

The steel mill is expected to produce 5 million metric tons (mt) of steel products per year.