#Rio de Janeiro #Brazil #Cedro Participações #Itaguaí Port #President Lula

Cedro Participações Signs Concession Contract for Itaguaí Port

On February 21, 2025, Cedro Participações marked a pivotal moment in Brazil's mining sector by signing a concession contract for the Itaguaí Port in Rio de Janeiro. This event was graced by the presence of President Luiz Inácio Lula da Silva and Minister of Ports and Airports, Silvio Costa Filho.

During the ceremony, Lucas Kallas, the Chairman of Cedro Participações, emphasized the strategic role of the port in bolstering Brazil's mining industry's global competitiveness. He stated, "This new route will enhance the competitiveness of Brazil's mining sector on the world stage while also delivering substantial environmental benefits and improving national infrastructure. Through this initiative, we will remove 5,000 trucks from roads daily and cut CO2 emissions by over 40,000 tons."

To facilitate the operations at the port, Cedro Participações plans to invest an impressive R$3.6 billion. The planned terminal at "Porto do Meio" will handle 20 million tons of bulk solid minerals annually, occupying approximately 350,000 square meters. The investment is set to create around 2,800 direct and indirect jobs during construction and another 2,800 jobs once it becomes operational. Kallas also noted that over R$1.5 billion will be funneled into necessary private investments for the terminal and railway branches.

President Lula commended Cedro's initiative and Kallas' commitment to investing in Brazil. He remarked on the entrepreneur's dedication and seriousness in furthering the country's mining industry. "I thank Lucas for deciding to invest here. From our first meeting, it was clear to me that he is a serious businessman who loves Brazil and supports its growth," Lula stated.

Additionally, the terminal will serve to export high-quality iron ore pellets capable of reducing carbon emissions in the steel industry by up to 50%. According to Fabiano Carvalho, the commercial vice president in charge of strategy and projects at Cedro Participações, the terminal is pivotal for sustainable mining practices. He stressed, "This port will adhere to all the best environmental practices during its construction and operation, and will enable exports of high-quality ores from Brazil to the Middle East and Asia."

Construction is slated to commence in 2027, with operations expected to kick off in 2029. This endeavor positions Cedro Participações as the first Brazilian private iron extraction company to vertically integrate its operations and achieve direct maritime access.

Minister Silvio Costa Filho highlighted the developmental boost this project will bring to the Itaguaí region. "This marks the largest auction in Brazilian port history, with initial investments of R$3.6 billion growing to nearly R$10 billion over the years," he announced. He also emphasized the creation of 2,800 jobs during the terminal's construction phase, offering essential opportunities for local residents.

Moreover, Luiz Marinho, the Minister of Labor, pointed to the resurgence of employment in the port area under Lula's administration. He revealed, "Over the last two years (2023 and 2024), we have generated more than 2 million jobs within the country." Marinho underscored the nation's resilience and employment growth, while criticizing negative economic perceptions. "Brazil is on a path toward job creation. Under Lula's presidency, every worker will have opportunities in both formal and informal economic sectors," he reassured.

This ambitious project not only promises economic growth and job opportunities but also demonstrates a commitment to sustainable development in Brazil's mining sector.