The Brazilian multinational corporation is to deploy almost 50 vessels, all of which will be equipped with exhaust gas cleaning systems (EGCS).
The revelation was made during the company’s Q2 results, a period which saw Vale achieve an adjusted EBITDA of $ 3.9 billion.
Explaining the company’s strategy, Vale CFO, Luciano Siani Pires, said: ‘We reached an important milestone in the implementation of our strategy to offset the effects of our geographical position on freight rates by concluding the negotiations of long-term Contracts of Affreightment with different shipowners,’ explained CFO, Luciano Siani Pires.
‘These shipowners intend to employ approximately 47 new Very Large Ore Carriers and one new Valemax, all equipped with scrubbers, covering approximately 62 Mtpy of our transportation needs. The average freight rates of these new contracts is about US$ 5/t lower than our current average freight cost.’