Brazil's Vale SA, the second largest mining company in the world, on Friday presented a project for a steel plant at Anchieta in the state of Espírito Santo, on the southern coast of Brazil. The project will have an annual production capacity of 5 million tonnes of steel slab and the company plans to detail plans to local communities and public authorities.
The plant will trade under the name Companhia Siderúrgica Ubu. Its design is based on the most up-to-date production and environmental control equipment, taking into account socio-environmental conditions in the south of Espirito Santo and capitalising on local features which are highly favorable to mining and metallurgy, a company statement said.
The plant is expected to be ready for operation in 2014, and during the environmental licensing formalities scheduled to begin this year, the undertaking will be split up on a partnership basis, with a firm commitment to the involvement of local communities.
When CSU comes on line, it is expected to create 18,000 permanent jobs - 3,000 for operating the plant and 15,000 indirectly. Priority will be given to contracting local labour, with activities aimed at providing vocational training in the region.
During construction, scheduled to commence in 2011, priority will also be given to local workers for the 15,000 temporary jobs that the construction work is expected to generate.
Building the steel plant will also require an efficient logistics system, entailing the creation of a new deep-water port with shipping capacity compatible with CSU's production capability, and a rail link which will cross 11 municipalities in the state.