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Vale signs iron ore shipping deal with Cosco

Move could help miner resolve ban on its ships in China

Published Sun, Sep 14, 2014 · 10:00 PM
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[RIO DE JANEIRO] Vale SA reached a deal with China Ocean Shipping Co (Cosco) for transporting iron ore, a move that could help the Brazilian miner resolve a costly two-year ban on docking its mega-ships at Chinese ports.

Vale said in a statement that it would transfer ownership of four very large iron ore carriers of 400,000 deadweight tonnes to Cosco. It would then lease them back from Cosco, the state-owned parent of top Chinese dry bulk shipper China Cosco, for 25 years.

The deal is part of a continuing effort by Vale to move away from owning its own vessels so it can focus on mining and shor…

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