The second phase of the ongoing expansion of the Pecem port, located in the Brazilian state of Ceara, could negatively affect Vale’s JV owned slab producer Companhia Siderurgica do Pecem (CSP), according to a media report.
Currently 83 percent complete, the second phase of the expansion of the Pecem port could be interrupted on Monday, as Ceara state, which is responsible for executing the project, has reportedly delayed payments.
CSP is a slab producer owned by Vale, Dongkuk and Posco. The Pecem port is used by CSP to export slab.
The media report said a bridge currently being built in the second phase of the expansion will increase access the port’s breakwater, which could help CSP export slab faster.
Currently, CSP uses another bridge and smaller trucks to transport the slab it will export.