Major Chinese steelmaker Wuhan Iron and Steel (WISCO) has issued a denial in response to media reports which said the company had abandoned plans to build a steel production plant in Brazil costing $5 billion due to concerns regarding logistics and coking coal supplies.
The steel plant project is a joint venture between the Chinese steel producer and Brazil-based EBX Group.
A WISCO spokesman said the company has not withdrawn from the project, adding that the two parties are still working on the project.
A report from China-based 21st Century Business Herald had said WISCO had dropped out of the project after feasibility studies found the project was too risky due to issues including logistics, transport and coking coal supplies.