First Valemax Ship to Discharge in Malaysia

MarineLink.com
Tuesday, February 25, 2014
Photo: Vale

Reuters - Brazil's Vale SA will launch in March the first phase of its iron ore storage and distribution center in Malaysia that will improve its access to China, its biggest customer, a company official said on Tuesday.

The world's top iron ore miner, whose huge Valemax vessels are banned from Chinese ports, built the Malaysian terminal to better compete with Australian rivals Rio Tinto and BHP Billiton.

The 400,000-deadweight metric ton (dwt) vessels, the world's biggest bulk carriers, were meant to cut Vale's shipping costs to China but Beijing banned them in January 2012 to shield its shippers. The Malaysian hub, along with a floating terminal in the Philippines set up in February 2012, may help Vale maximize the use of the ships.

João Mendes de Faria, President of Vale China, said at a Metal Bulletin conference that the Malaysian centre will receive its first Valemax iron ore carrier next month, bringing larger quantities of Vale's ore in closer proximity to China's ports.

Vale is planning to increase its total iron ore production by 50 percent to more than 450 million metric tons a year by 2018, and raising its market share in China is a vital part of its strategy.

But the firm's efforts to persuade Chinese authorities to allow its Valemaxes to land directly at Chinese ports suffered a setback earlier this month when China's transportation ministry announced tough new restrictions on the size of ships allowed to dock at domestic terminals.

The transport ministry's new port safety rules set a maximum capacity of 250,000 dwt for ships berthing in China.

Mendes de Faria said China's refusal to admit the company's huge carriers had reduced the "efficiency" of delivering iron ore to the Chinese market, but said the establishment of the Malaysia centre would bring improvement to Chinese customers.

"With Malaysia and our floating stations, our logistic strategy over the short and medium term has been settled," he said.

China barred the Valemaxes from its ports about a month after the first of the giant vessels docked at Dalian port in December 2011. But a Valemax managed to dock at China's Lianyungang port in April last year.

(Reporting by David Stanway; Additional reporting by Manolo Serapio Jr; Editing by Muralikumar Anantharaman)

Maritime Reporter October 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Ports

US Port Congestion Hides Deeper Issues

Ports on the U.S. West Coast are currently suffering from chronic congestion, but are there deeper issues affecting their performance?   Drewry’s new report Container

Hamburg Cargo Volumes at Record High

Seaborne cargo throughput of 110 million tons in the first nine months sets new record for Port of Hamburg    With total throughput of around 110 million tons,

New McAllister Tug Features JonRie Winch Set

JonRie Marine Winches supplied its fifth ship set of full bollard pull winches to New York’s McAllister Towing for installation on its new tug, Tate McAllister.

News

Cathelco BWTS Receives AMS Approval

Cathelco Ltd. has received Alternate Management Systems (AMS) acceptance from the U.S. Coast Guard for their ballast water treatment system.   AMS acceptance

Hagel Resigns as Defense Secretary

U.S. Defense Secretary Chuck Hagel resigned on Monday, the first major change to President Barack Obama's Cabinet since his Democrats were routed in midterm elections three weeks ago.

Ferus Smit to Launch Newbuild Bulk Carrier

Ferus Smit will launch newbuild general bulk cargo vessel Arklow Brave on Friday, December 12, in Westerbroek.   Arklow Brave is the fifth vessel in a series

Vessels

An Efficient Addition to a Strong Fleet

Cvitanovic towing of Belle Chasse, Louisiana has taken delivery of a fourth vessel for its fleet of highly efficient Lugger-style tugs. Built at the Rodriguez yard in Bayou LaBatre,

Ferus Smit to Launch Newbuild Bulk Carrier

Ferus Smit will launch newbuild general bulk cargo vessel Arklow Brave on Friday, December 12, in Westerbroek.   Arklow Brave is the fifth vessel in a series

LR to Class Maersk Supply Service Anchor Handlers

The six vessels (plus four options) placed in the Norwegian yard will be assigned Lloyd’s Register (LR) class notations 100A1, Offshore Supply Ship AHTS, Fire Fighting Ship 1 (2400),

Logistics

US Port Congestion Hides Deeper Issues

Ports on the U.S. West Coast are currently suffering from chronic congestion, but are there deeper issues affecting their performance?   Drewry’s new report Container

Hamburg Cargo Volumes at Record High

Seaborne cargo throughput of 110 million tons in the first nine months sets new record for Port of Hamburg    With total throughput of around 110 million tons,

Belgian Port Workers Strike

Port workers in Belgium began a 24-hour strike today, November 24, which will end at midnight, Inchcape Shipping Services (ISS) reported. It is anticipated that

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Navigation Offshore Oil Pipelines Ship Electronics Ship Repair Ship Simulators Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1896 sec (5 req/sec)