Russian steelmaker Severstal plans to withdraw from its 25 percent stake in the Amapa iron ore project in Brazil, according to the company statement.
According to company officials, the Amapa project does not look so attractive in the current market conditions. At present, the Amapa project is in its initial stage. As part of this project, it was planned to produce up to 30 million mt of iron ore per year, starting from 2020. The estimated cost of the project is $1.5-2 billion.
The Amapa project includes a significant iron ore deposit and a 192-kilometer railway connecting the mine location to an existing port facility and 71 hectares of real estate on the banks of the Amazon River, reserved for a loading terminal.