Brazilian mining company CVRD announces investment plan

Brazil's mining giant, Companhia Vale do Rio Doce (CVRD), said Friday that it will invest 6.3 billion U.S. dollars in 2007, the biggest investment plan ever announced by the company.

According to CVRD, the program represents a growth of 1.8 billion dollars from that of 2006.

In a press release, the company said that 25.8 percent of the investment fund or about 1.6 billion dollars will go to iron ore projects such as the Carajas mining complex.

The company currently is the biggest iron ore producer in the world and its production is expected to reach a record 300 million tons this year.

CVRD also announced it intends to invest 811 million dollars in aluminum and 720 million dollars in logistics.

Besides, CVRD will provide 2.5 million tons of iron ore pellets annually to a steel project in northeastern Brazil in cooperation with South Korea's Dongkuk Steel and Italy's Danieli.

The Ceara Steel will start operation in 2009 and it is expected to produce 1.5 million tons of steel plates per year.

Finally, 200 million dollars will target another steel project, the ThyssenKupp CSA, which will produce 5 million tons of steel plates in Rio de Janeiro.

Source: Xinhua