Brazilian group vale takes delivery of first of seven large cargo ships ordered from South Korea

6 May 2011

Rio de Janeiro, Brazil, 6 May – Brazilian mining group Vale has received the first of seven large cargo ships ordered from South Korea’s Daewoo Shipbuilding & Marine Engineering Co, which this month will leave Brazil carrying iron ore, the Brazilian press reported.

The ship has a capacity of 400,000 tons, is 362 metres long and 65 metres wide and is part of an order placed with the South Korean shipyard worth US$748 million. Its first departure is scheduled for 22 May and it will carry iron ore to China.

Vale has also ordered another 12 large ships from shipyards in China and a further 16 from third parties that will operate exclusively for Vale are due to be delivered between this year and 2013.

Vale will have a fleet of 60 ships and is returning to the shipping sector after it sold some of the ships it owned through its transport subsidiary Docenave.

Meanwhile, Vale said Thursday that it had posted record profit of 11.291 billion reals (US$6.991 billion) in the first quarter of the year, which is almost four times the amount of profit posted in the same period of 2010 (2.879 million reals).

Vale’s iron ore production totalled 71.54 million tons in the first quarter, as compared to 69.06 million in the same quarter of last year and 80.26 million tons in the fourth quarter of 2010. (macauhub)