Brazilian steel producer Gerdau announced investments of BRL 3.2 billion ($665 million) to increase the iron ore production of its Miguel Burnier mine, from 1.2 million mt per year to 5.5 million mt per year, effective by the end of 2025.
The mine, located in Ouro Preto, in the state of Minas Gerais, will receive the investments between 2023 and 2026, including equipment and processes described as the most advanced in the mining industry, with the dry stacking for the mining waste to avoid the use of waste dams, and with transportation of the ore from the mine to the Ouro Branco steel plant, at a distance of 15 km, made via an iron ore pipeline.
According to Gerdau, the iron ore produced at the Miguel Burnier mine will be entirely destined to the supply of the company’s steel plants located in the state: Ouro Branco, Barão de Cocais, Divinópolis and Sete Lagoas.
The company mentioned that with the additional iron ore production, it will be able to increase in the future its steel production in the state of Minas Gerais.