Vale expects to resume iron ore railway operations following halt

Brazilian miner and iron ore producer Vale said this week it expects to resume operations at its Estrada de Ferro Carajas (EFC) iron ore railway, following a halt due to intense rainfalls. Vale said it provisionally suspend the railway’s operations and is performing maintenance works, which it expects to conclude by Wednesday, March 9. The storms caused mud to hit a stretch of the railway in the city of Bom Jesus das Selvas in Maranhão state, the company said. Vale said that operations at its Carajás iron ore mine, as well as at a nearby port will continue; the company said it is using existing inventory to continue activities. The miner said the impact of the EFC halt will be “minimal” due to seasonality in iron ore output and shipments out of its North System, since this is the rainy season in that region in Brazil. Vale said the halt will have no impact on its iron ore output guidance of 320-335 million mt/year.