Business

Vale to spend $52m on new facility

BRAZILIAN mining powerhouse Vale, which has a stake in three Central Queensland coal mines, is taking on BHP Billiton in a battle to lure some of the company's Chinese iron ore customers.

Vale will spend $52 million to build a second "floating iron ore transfer station" in Subic Bay off the Philippines coastline

These ports have no connection to land, but allow Vale to unload its fleet of iron ore-laden ships - the largest in the world - on to smaller and faster ships.

The plan is to have its armada of "Valemax" vessels shipping massive amounts of the mineral which can then be split up and speedily delivered to Chinese ports.

One of BHP Billiton's competitive advantages is that Australia's closeness to China means it pays less for freight so the Chinese pay less for its coal and iron ore.

This is Vale's way to challenge that.

The new floating stations are mobile enough to be moved to wherever is necessary.

According to Vale, the Valemax ships will take minerals from Brazil "85% of the way", before being put onto smaller ships that will travel the remaining distance.

"Both the existing station and the one to be built are mobile, making it possible to move them to operate in different offshore regions. They will be always close to our main consumer markets in Southeast Asia and other parts of Asia," Vale said in a statement.

A spokesman for BHP Billiton said it was inappropriate to comment on a competitor's activities.

Topics:  bhp billiton vale



Unions take to streets as Sunday penalty rates cut

Retail workers will be among those hit by the changes.

Thousands of lowest paid workers to be hit by changes to pay rates

You're invited to help celebrate Col's last day

Col Green from the South Grafton Ex-Servicemen's Club who are having great success with their tribute shows.

South Services secretary-manager retiring

Local Partners

Buderim dad rejects gay son's emotional plea for second time

Bride and Prejudice: Son’s emotional plea rejected again by unmoved father

What's on the big screen this week

Ewan McGregor and Jonny Lee Miller in a scene from the movie T2: Trainspotting.

This week's new releases offer plenty of variety for movie buffs.

Yamba show sounds Crazy

GROOVY POP: Crazy Old Maurice is take to the stage at the Pacific Hotel Sunday afternoon.

Newcastle band to bring the house down in Yamba

Bernard, Kasey, Spooky Men, and more this weekend

Mal Eastick returns with his Blues Bar on Sunday at the Yamba Golf Club.

Touring shows bring mix of genres to Clarence

Duo Hard Drive to rock Clocktower Friday

Hard Drive, Stephen Herbert and Dwayne Doyle, who are playing at the Clocktower Hotel this weekend.

Enjoy Hard Drive at the Clocktower this weekend

REVIEW: Under the Gun doco looks at right to bear arms

ARMED: A still from the 2016 documentary film Under the Gun by Stephanie Soechtig.

An in-depth look into America's gun culture.

Hodges proud to be part of first channel dedicated to NRL

Justin Hodges is gearing up for his new gig on Fox League.

Footy star hopes to provide a voice for players on new NRL channel

$140k damage: landlord says property trashed, contaminated

He had what he calls "the tenants from hell"

Submarine, buses and 3000 tyres removed in $100K clean up

The list of things removed from this property is beyond astonishing

Houses selling like hot cakes

HIGH DEMAND: Maclean Valley 2 Coast principal Ingrid Nott.

Valley's housing market pushed by supply shortage and jobs growth

Popular island resort sells to loaded international investor

OUR PICK: Chris Foey's colourful shot of one of Gladstone's great tourism hot spots, Heron Island.

International investor snaps up piece of Gladstone paradise.

Ready to SELL your property?

Post Your Ad Here!