Portugal-based Mota-Engil has confirmed its interest in a potential partnership with Kazakhstan’s Eurasian Resources Group (ERG) to develop its Brazilian iron ore subsidiary, Bahia Mineração (Bamin), Kallanish reports.
The project includes the Pedra de Ferro mine, targeting an output of 26 million tonnes/year, the West-East Integration Railway (FIOL) and Porto Sul in Bahia state.
During an investor event, the engineering and construction group’s executive chief, Manuel Mota, said the company is evaluating opportunities for acquisitions, joint ventures, or other business transactions based on its strategic priorities.
“One of our objectives is to establish a strategic partnership to co-finance the next phase of growth, strengthening our financial capacity and long-term alignment within the mining sector,” explained Mota. “We are currently studying and evaluating the Bamin project, which fits in with the group’s strategy.”
The Portuguese construction company held a meeting at the Planalto Palace on 26 January, attended by the Brazilian President, Luiz Inácio Lula da Silva, the minister of transport, Renan Filho, and the Bahia state governor, Jerônimo Rodrigues, at which it presented a proposal for the development of the project.
The negotiations advanced, with Mota-Engil, currently evaluating the financial, legal and operational conditions before the deal’s completion, which could take place in the second quarter.
