Brazil to pay $1.7bn for port upgrades22 August 2014 | By Joe Quirke
Antaq, Brazil’s waterways regulator, has approved $1.73bn to be spent on port infrastructure in Rio de Janeiro and Santos, reports Business News Americas (BN Americas).
The work will be carried out by Brazilian steelmaker CSN, container terminal operator Santos Brasil and American agricultural company Archer Daniels Midland Company (ADM).
The port of Santos will receive funding of $531.4m, which will go towards two projects at its Tecon terminal, an extension of the piers from to 3,600ft from 2,940ft and deepening the terminal’s berthing channel from 39ft to 45ft. Work is due to be completed by 2018.
Santos Brazil will have their port contract extended to 2047 from the original expiry date of 2022.
The remainder of the funding would be used by CSN to expand their grain terminal in Tecar to export iron ore.
ADM plans to spend $88m on upgrades to their solid grain terminal in Santos, their lease will be extended to 2037 from 2017.
According to BN Americas, $840m will be spent on new equipment at the port between now and 2044.
The plans still need to be finalised by the Special Ports Department.
The port of Santos is South America's largest largest port and the world's 39th largest port in terms of container traffic.