Vale considers temporary closure of Malaysia iron ore terminal
2020-03-19 14:38:53 [Print]
Vale is considering a temporary closure of its Malaysian distribution center Teluk Rubiah Maritime Terminal (TRMT), which would lead to 800,000t of lost iron ore shipments over the first quarter of 2020. The plan comes on the back of the threats posed by the coronavirus (COVID-19) outbreak.
Vale said the TRMT could be temporarily shut from Saturday until 31 March. The company is communicating with the local authorities to clarify supposed restrictions imposed by the government on transportation between cities, what could limit the access of workers to TRMT.
Vessels already heading to TRMT will be redirected and redistributed among its blending facilities in China with no expected impact on production and sales volume in 2020, but with an impact on sales of approximately 800,000t in Q1 of 2020, said Vale. Immaterial cost increase is expected due to additional logistics, it added.
In 2019, the TRMT handled 23.7 million tons of iron ore shipments.
Vale said the TRMT could be temporarily shut from Saturday until 31 March. The company is communicating with the local authorities to clarify supposed restrictions imposed by the government on transportation between cities, what could limit the access of workers to TRMT.
Vessels already heading to TRMT will be redirected and redistributed among its blending facilities in China with no expected impact on production and sales volume in 2020, but with an impact on sales of approximately 800,000t in Q1 of 2020, said Vale. Immaterial cost increase is expected due to additional logistics, it added.
In 2019, the TRMT handled 23.7 million tons of iron ore shipments.
