Rio de Janeiro, Brazil, 2 July – China’s Wuhan Iron and Steel (Wisco) has joined forces with Brazil’s EBX to build a steel works in Rio de Janeiro, Brazil, expected to cost US$4 billion.
Wisco and EBX, which will have a minority stake in the project, will build and put into operation a steel making unit in Porto de Açu, the federal government of Rio de Janeiro said in a statement.
Porto de Açu is an industrial and port complex located on the north coast of Rio de Janeiro.
The size of the project has yet to be announced, but the governor of Rio de Janeiro, Sérgio Cabral, who met with steel group officials in Chian said that Wisco’s aim was to increase its production worldwide to 30 million tonnes per year.
Last June Wisco announced it has offered to acquire a 9.09 percent stake in Brazilian mining group MMX for US$120 million and 23 percent of subsidiary MMX Sudeste Mineração for US$280 million.
The EBX group has focused its activity on the infrastructure and natural resources sector, and its investments are focused on companies MMX (mining), MPX (energy), LLX (logistics), OGX (oil and gas) and BEX (shipyards). (macauhub)