The shale gas revolution in the U.S. now favors the Vale
benefit from the " resurgence of the industry " U.S. , thanks to shale gas , seen as responsible for an energy revolution on a global scale and that can give the richest country in the world to self-sufficiency in energy.
The mining company has already signed a contract through its subsidiary Samarco , for the sale of iron pellets to a steel construction in the USA .
Still negotiating to supply two power plants in the U.S. installation . " We are experiencing a resurgence of the industrial sector in the U.S. with the ' shale gas ' [ shale gas ] and it helps steel ," says Murilo Ferreira , President of the company .
The shale gas revolution in the U.S. now favors the Vale
PEDRO SOARES
RIVER
1/29/2014 3:00 a.m.
(Machine translated)
Vale already starting to benefit from the " resurgence of the industry " U.S. , thanks to shale gas , seen as responsible for an energy revolution on a global scale and that can give the richest country in the world to self-sufficiency in energy.
The mining company has already signed a contract through its subsidiary Samarco , for the sale of iron pellets to a steel construction in the USA .
Still negotiating to supply two power plants in the U.S. installation . " We are experiencing a resurgence of the industrial sector in the U.S. with the ' shale gas ' [ shale gas ] and it helps steel ," says Murilo Ferreira , President of the company .
The expansion of power plants in the U.S. comes in handy for Vale, as it can compensate , in part , the narrowing of the European market , very important for the company .
Since the 2008 crisis , many mills have closed or cut capacity in Europe . There are already signs of recovery, but European customers are still too far from your volume orders pre -crisis .
With the new contracts in the United States , predicting the Valley is gradually resume production of pellets , which fell 15.3% from January to September 2013. There was also a decrease in the volume of iron ore extracted by mining , but at a slower pace ( 3.3% ) , thanks to demand from China .
There is, however , a schedule to reactivate the plants nor the volumes traded in contracts with U.S. steelmakers were revealed .
In the U.S. , these new plants using the system called direct reduction for the manufacture of steel by the pellets and the use of gas as fuel. In the conventional model (used in China and the Brazilian steel , for example) , it uses coal and raw iron ore .
Producer of iron ore , the U.S. has never been a major export destination for Valley , especially with the decline of the steel industry in the country in recent years . Vale sees the " rebirth " of the industry in that country as a way to put their products at a competitive price , primarily due to the strategic logistics position.
A freight Maranhão , where Vale has a port for the U.S. is much cheaper than for China, the biggest customer of mining .
Increasingly Vale becomes dependent on China - destination almost 50 % of its production . Asian countries absorb 67 % of the iron ore company .
Murilo Ferreira sees China still a major source of dynamism for the sector and believes that the country will maintain its position as the largest global consumer of iron ore and steel producer. But also sees room to grow in the U.S. . |
