JSPL likely to ship iron ore from El Mutun mines

NEW DELHI: Jindal Steel and Power Ltd (JSPL) could ship iron ore from El Mutun mines in Eastern Bolivia through the Paraguay river using the port facilities at Corumba.

Brazilian mining majors like MMX, Vale and Rio Tinto have already been using the port facility of Corumba for shipping iron ore and pig iron.

Quoting local reports Steel Business Briefing (SBB) reported that JSPL's Managing Director in Bolivia, Pritam Singh Rana, had visited Corumba's officials to discuss projects and investments at the river port.

"According to the local press, Rana also commented that Jindal is looking for business opportunities in Brazil," it said.

JSPL is expected to begin shipments from its El Mutn operation later this year and is likely to ship its first ore cargo in October.

Initial tonnage was not revealed, but one of the company's key official in Bolivia was quoted by the Bolivian press as saying that JSPL would send officials to begin work there in February.

In November 2007, Bolivia's government gave its approval for JSP's El Mutn project, a 2.1-billion dollar investment to develop iron ore deposits and build a 1.7 million tonnes per year direct-reduced iron plant and a 1.4 million tonnes per year steelmaking plant, SBB reported.