Vale, the world’s largest iron-ore producer, will suspend output at three pellet feed plants in Brazil, relocating workers, as demand from steelmakers declines.
Production will be temporarily halted at the Sao Luis unit in northern Brazil Oct. 8 and at the Tubarao I and Tubarao II plants in the country’s southeast Nov. 13, Vale said in a statement, without saying how long the units will remain idle. The reduced processing of iron ore into pellet feed means production of sinter feed, a rawer form of the material, will expand, Vale said.
The three units that are being halted produced 4.93 million metric tons of pellets in the first half of this year, or 18 percent of the company’s total production of the material, the Rio-based company said.
Source- Reuters
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