vale logistics brazil
TRANSCRIPT
VALE’S LOGISTICS BUSINESSES
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeast and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
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Vale
Our Mission
To transform mineral
resources into prosperity and
sustainable development.
Our Vision
To be the world’s biggest mining company and
exceed world-class standards of excellence in
research, development, project management and
business operations.
Ethics and transparencyWe always operate openly, communicating in an honest and direct manner
Excellence in performanceWe are tireless in our drive to improve in all areas of our business
Developmental ethosWe encourage and reward those who take the initiative
Economic, social and environmental responsibilityWe are a responsible corporate citizen
Respect for lifeThis is a priority, as human life is precious
Respect for diversityWe recognize that our strengths and character originate in our differences
Pride in “being Vale”We can hold our heads high, as we are proud of who we are
Our values
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Vale employees respect seven core values every day:
Vale has implemented a comprehensive set of initiatives involving advanced technology:
� Standardization of processes and policies
� Centralization of safety data tracking
� Analysis of best industrial practices
� Complete training programs
� Focus on disciplined risk management
� Investment in safer facilities and equipment
Health and safety
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Prioritizing lives and safety is an essential value for the company.
We have a wide range of pioneering ecological initiatives:
�Responsible operations
� Restoration of forests and reforestation;
� Use of green fuels for transportation;
� Responsible waste management
Vale recognizes that, as a mining company, its operations affect the environment. To
reduce this impact, we continually seek new ways of preserving a balance between human
progress and the natural environment, as well as actively educating and training employees
to conduct environmentally responsible actions.
Environmental responsibility
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Social responsibility
Vale demonstrates its commitment to
social responsibility across the world
in many ways:
� Job creation and economic growth: commitment to employ and train local people
� Environmental conservation initiatives
� Social outreach programs
� Educational and cultural programs
� Social investment activities
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Vale strives to develop open relationships with local communities and celebrates
shared successes by employing, educating and investing in the communities of
which it is part.
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeast and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
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Vale’s logistics businesses
In addition to owning an extensive rail network, Vale has access to
Brazil’s main ports, enabling the company to offer its customers
integrated logistics solutions.
Products transported: grains, sugar, fertilizers, limestone, coal, coils,
slabs, coke, slag, chalk, billets, a variety of different minerals, fuels,
containers, cement, granite, pulp and other products.
Vale provides a diversified portfolio of logistics services. The company has more than
10,000 kilometers of rail track and access to Brazil’s main ports, as well as multi-modal
terminals at various points in the network.
� Vitória-Minas Railroad (EFVM)
� Carajás Railroad (EFC)
� North-South Railroad (FNS)
� Centro-Atlântica Railroad (FCA)
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Logistics system
Carajás Railroad (EFC)
North-South Railroad (FNS)
North-South Railroad (FNS) – under construction
Vitória-Minas Railroad (EFVM)
Centro-Atlântica Railroad (FCA)
ALL – right of way, operated by FCA
MRS
Key
Maritime Terminals
Ponta da Madeira Maritime Terminal
Inacio Barbosa Maritime Terminal
Port of Aratu
Port of Salvador
Tubarão Port Complex
Valesul Terminal
Port of Angra dos Reis
Port of Santos
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeast and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
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Northern Logistics System
The Carajás Railroad and North-South Railroad form an extensive transport corridor linking inland
regions in the states of Pará, Maranhão and Tocantins to Ponta da Madeira Maritime Terminal and the
Port of Itaqui in São Luís, as well as multi-modal terminals located at strategic points along the corridor.
The efficiency of this logistics corridor at transporting
general freight such as grains, fuel, manganese and
pig iron creates thousands of jobs in the center-north
region and contributes to Brazil’s balance of trade.
Length of EFC: 892 km
Length of FNS: 720 km
Gauge: Broad
Carajás Railroad (EFC)
North-South Railroad (FNS) – 562 km
North-South Railroad (FNS) – 158 km being built
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Logistics solution
� Strategically positioned to transport freight from Mato Grosso
state via the BR 158 highway.
� The Colinas region is now the best served in terms of fertilizer distribution, not only in Tocantins but in Mato Grosso and Bahia
too.
� Capacity: two 6,000-ton silos and one grain silo with static capacity of 1,500 tons.
Main rail terminals
The main terminals along the northern corridor are situated in: Porto Franco, Marabá, Açailândia, Parauapebas, São Luis and Colinas.
Located close to productive agricultural areas in the state of Tocantins, Colinas Terminal is the most recent terminal to have been opened, further boosting the competitiveness of the transport corridor ending at the Port of Itaqui.
Northern Logistics System
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Length:
Draft:
Air draft:
Maximum DWT:
Loading capacity:
280 m
18 m
18 m
150,000 tons
1,500 t/h (soy)
2,000 t/h (pig iron)
Pier 2CHARACTERISTICS
Ponta da Madeira Maritime Terminal (TMPM) and Port of Itaqui
To handle grains, pig iron and copper, TMPM has 5 silos, 1 warehouse and 3 stockyards.
Northern Logistics System
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeast and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
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The Vitória-Minas Railroad (EFVM) and Centro-Atlântica Railroad (FCA) form an extensive transport corridor connecting the states of São Paulo, Minas Gerais, Espírito Santo, Goiás and Rio de Janeiro to Tubarão Port Complex, the Port of Santos and Valesul.
Length of FCA: 8,066 km
Length of EFVM: 905 km
The southeast corridor transports steel
products and inputs, forest products, grains,
granite, fuels, pulp, construction materials,
sugar, fertilizers, petrochemicals, pig iron and
other products.
* All flows to the Port of Santos are carried out via a right of way
contract with ALL
Southeast and Center-West Logistics System
Centro-Atlântica Railroad (FCA)
ALL
Vitória-Minas Railroad (EFVM)
MRS
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Vitória-Minas Railroad (EFVM)
The Vitória-Minas Railroad is one of the most modern and productive railroads in Brazil.It connects Minas Gerais to the coast of Espírito Santo, forming a modern, safe and highly productive export and import corridor.
Length of EFVM: 905 km
Gauge: Metric
The EFVM links to the Centro-Atlântica Railroad,
Tubarão Port Complex and other ports in
Espírito Santo, providing customers with
competitive services along a transport corridor
for steel products and inputs, forest products,
grains, granite, fuels, pulp and construction
materials.
Southeast and Center-West Logistics System
Vitória-Minas Railroad (EFVM)
Centro-Atlântica Railroad (FCA)
ALL
MRS
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Centro-Atlântica Railroad (FCA)Extending for more than 8,000 km of track, the Centro-Atlântica Railroad is strategically located, connecting with Brazil’s major railroads.
Centro-Atlântica Railroad (FCA)
ALL
Vitória-Minas Railroad (EFVM)
MRS
The railroad connects with Tubarão Port Complex,
via the EFVM, as well as ports located in São Paulo
and Rio de Janeiro.
The railroad’s diversity of assets enables logistics
solutions to be provided for grains, sugar,
limestone, cement, phosphate, pig iron, fertilizers
and clinker, as well as steel and petrochemical
products.
* All flows to the Port of Santos are carried out via a right of way contract
with ALL
Length: 8,066 km
Gauge: Metric
Southeast and Center-West Logistics System
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Logistics solution
�2 hopper chutes and 2 truck dumpers
�2 silos each with 3,000 tons of static capacity
�Parking for 200 trucks (~18,500 m2)
�6 silos each with 18,000 tons of static capacity (under construction)
�Elevators and conveyor belts – 600 tons per hour
�Capacity to load 40 wagons in 6 hours
Pirapora Multi-Modal Terminal (TIP)
Southeast and Center-West Logistics System
Main rail terminals
Along the southeast corridor there are more than 150 terminals owned by Vale and third parties.
Located in the northwest of Minas Gerais state, Pirapora Multi-Modal Terminal (TIP) is the most recent
addition, making the transportation of grains more competitive and boosting agricultural development in
the region.
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Type of cargo:
Length:
Draft:
Maximum beam:
Maximum DWT:
Maximum ship length:
Grains
300 m
14.70 m
43.5m
150,000 tons
280 m
Fertilizers and general cargo
240.9 m
11.30m + tide
32.5m
80,000 tons
245 m
CHARACTERISTICS BERTH 3 BERTH 4
Diverse Products Terminal (TPD)
To handle grains and fertilizer, the TPD has 2 silos and 9 warehouses, 8 for grains.
Southeast and Center-West Logistics System
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760 m
315 m
16.0 m + tide / 3.5 m + tide
55 m
250,000 tons
Length:
Maximum ship length:
Draft:
Maximum beam:
Maximum DWT:
CHARACTERISTICS
Praia Mole Terminal (TPM)
To handle coal and coke, the TPM has five yards and more than 16 km of conveyor belts.
Southeast and Center-West Logistics System
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Length:
Draft:
Minimum depth:
250 m
10.5 m
13.5 km
CHARACTERISTICS TERMINAL
Berth 201 (Valesul)
Valesul Port Terminal
The Valesul Terminal has 2 alumina silos.
Southeast and Center-West Logistics System
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeast and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
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The northeast corridor is formed by the Centro-Atlântica Railroad (FCA), which connects the states of Bahia and Sergipe to the ports of Salvador, Aratu and Aracajú (TMIB).
The corridor has more than 10 terminals
owned by Vale and third parties.
Northeast Logistics System
Centro-Atlântica Railroad (FCA)
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Length:
Draft:
Width of pier:
Bridge length:
356 m
10 m
17.9 m / 23.9 m
2,400 m
CHARACTERISTICS TERMINAL � Two mobile hoppers fed by cranes aboard ships.
Inácio Barbosa Maritime Terminal (TMIB)
The TMIB has 5 warehouses and 2 coke yards.
Northeast Logistics System
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeastern and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
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Investment in logistics
Between 2003 and 2009, Vale invested more than US$7 billion in logistics.
353484
730649
977
1,952 1,948
0
500
1.000
1.500
2.000
2.500
2003 2004 2005 2006 2007 2008 2009
US
$ m
illi
on
Investment by Vale in logistics (US$ million)
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Consolidated gross revenue
Gross revenue from general cargo
1,073
1,896
2,1302,280
1,933
0
500
1000
1500
2000
2500
2005 2006 2007 2008 2009
R$ m
illio
n
Volumes – railroads and ports
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Portos
Vale’s railroads transported more than
49 million tons of general freight in
2009
Vale’s ports and maritime terminals
handled more than 21 million tons of
general cargo in 2009
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeastern and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
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Customer focus
Tel: (27) 3333 2555, (31) 3279 4900 and (98) 3218 5666
Vale’s logistics businesses have a personalized customer
care structure, staffed by qualified professionals who
understand their customers’ needs.
More than simply receiving orders and requests, we offer
support and information about all stages involved in each
logistics operation.
Basic principles of our customer service:
�Accessibility
�Reliability
�Excellence
�Flexibility
Customer relations area
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Customer focus
eServices – 24-hour service throughout the year
� monitor the performance of weekly programs
� access invoice data
� monitor service level indicators
� download information bulletins and reports
Go to: www.vale.com/eservices
Vale’s logistics businesses offer customers a system that
handles information with complete confidentiality in real time:
eServices. Besides having traditional cargo tracking features,
the internet tool enables customers to:
eServices provides a vision for the online customer inside Vale. I really like working with the
system, since it is very useful for our daily fleet movements. Marcos Fernandes – Holcim “ ”
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PNS is a very useful tool, not only for understanding the issues and services that are most
important to each customer, but for avoiding a loss of focus on achieving selected targets.
Alfredo – Manager of Commercial and Transport Department, Cenibra“ ”
PNS is a program designed for continuous improvement in the quality of services provided by our
railroads and ports in order to meet or exceed customers’ expectations.
The quality of services provided is monitored by means of operational indicators chosen by our customers, such as:
�compliance with weekly and monthly programs
�transportation time
�availability of capacity
�ship loading/unloading rates
Service Level Program (PNS)
Customer focus
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Vale
Vale’s logistics businesses
Northern Logistics System
Southeastern and Center-West Logistics System
Northeast Logistics System
Figures
Customer focus
Projects and partnerships
Projects and partnerships – Energy
Ethanol Terminal at Guaraí-TO – Northern System
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Vale signs agreement with Bunge to transport 200 MM liters of Ethanol per year, from Tocantins to Port of Itaqui.
Projects and partnerships – Energy
Project Ethanol Center – Betim-MG and Vitória-ES
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Developing a New Ethanol Corridor
FROM
�Uberaba;
�Uberlândia;
�Ribeirão Preto;
TO
�Betim;
�Vitória.
Projects and partnerships – Energy
Project Ethanol Center – Paulínia-SP
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Developing a New Ethanol Corridor
FROM
�Uberaba;
�Uberlândia;
�Ribeirão Preto;
TO
�Paulínia;
Projects and partnerships – Energy
Ethanol Terminal at Uberlândia-MG
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Located close to triangulo mineiro TAU Terminal has a huge potential of movimentation. The terminal is capable to transport 40 MM liter of Ethanol per month and it has the capacity to load 12 wagons
Projects and partnerships – agriculture
ED&F Man – sugar
Our partnership with Vale ensures a more competitive alternative than road transport, eliminating
the need for around 12,000 annual trips by trucks to other ports, and making our logistics more
agile. Emiílio Seyfried – Operations Director at ED&F Man
Source: Logística em Foco magazine, April 2010
Logistics solution:
� 150 wagons refurbished by FCA by means of investment made by ED&F Man as advance freight payment, amortized over the contract period.
� Locomotives made available by FCA to supply demand.
� Rail link built and Matosul Terminal adapted by terminal operator (guaranteed by transportation contract with ED&F Man), involving two warehouses, one exclusively for ED&F Man’s use and the other available for third parties.
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“”
Projects and partnerships – agriculture
Multigrain – grains
Logistics solution:
� 300 wagons built for FCA by Mitsui Rail Capital (MRC), leased toMultigrain for the contract period.
� Locomotives modernized and rail network capacity increased (expansion and construction of rail yards), paid for by Multigrain as advance freight payment, amortized over the contract period.
Our alliance will yield many positive results for the companies involved. Eduardo Rodrigues – Multigrain
Source: Logística em Foco magazine, December 2009
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“ ”
Projects and partnerships – steelmaking
Electronic integration at Usiminas
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Electronic integration automates the exchange of information between companies, saving companies time, reducing errors and eliminating the need for data entry work.
The integration process covers the following:
�Wagon supply
�Transport schedules
�Exact tracking of loading activities
�Dispatch notes and electronic dispatch
�Invoicing processes
Usiminas is the first company to benefit from this technological solution.
Projects and partnerships – steelmaking
Vale and FCA are developing a customized wagon in partnership with ArcelorMittal
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Logistics solution:
�40 wagons refurbished in partnership with ArcelorMittal
�Locomotives made available by FCA to supply demand
�Adjustments made by ArcelorMittal at Monlevade Plant, enabling these special wagons to circulate and load
�Increased volumes transported by rail for ArcelorMittal, with high quality, safe and competitive services guaranteed by FCA/Vale
There are bottlenecks in logistics in Brazil and a great deal of creativity is required to fully exploit existing
capacity and even increase it. Paulo Cunha – Logistics Consultant, ArcelorMittal Source: Logística em Foco magazine, April 2010”“
Projects and partnerships – agriculture
CEAGRO – grains
Logistics solution:
� Formalization of transportation contract with the North-South Railroad (FNS), involving new 30 closed hopper cars to increase the railroad’s capacity.
� The wagons were provided to the FNS through a lease contract between CEAGRO and Ferrolease.
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Thank you
Igor Bretas de FigueiredoGerente de Conta Combustíveis e QuímicosVale – Departamento de Comercialização de LogísticaTel: (11) 5112-2413e-mail: [email protected]