Brazilian miner and iron ore producer Vale is in talks with the Brazilian government to build a railway connecting the port of Acu to the states of Rio de Janeiro and Espirito Santo, a media report said.
According to media reports, the railway would be built under a public-private partnership (PPP) agreement, in which Vale would partner with the Brazilian government. The Brazilian government is said to be eager to close the PPP as soon as next year.
It is unclear, however, if the railway would directly benefit only Vale or also if, and how, it may involve other miners and steelmakers. Espirito Santo state is home to local steelmaker ArcelorMittal Tubarao.
However, a connecting railway in the region may ease access of certain products from the port of Acu to other consuming and commodity producing states such as Rio de Janeiro.