Porto Sudeste LLX

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In February 2009, LLX Sudeste Operacoes Portuarias Ltda was granted an authorization to build, own and operate a terminal in the Itaguai Port located at the Madeira Island (Rio de Janeiro state). The environmental clearance was obtained in August 2009 and the license to start the construction works was granted by ANTAQ early in 2010. The terminal was expected to handle 50 million of ore per year initially, but there was the possibility of doubling the capacity in the future. Around two-thirds of the terminal capacity was to be used by MMX, a mining company that belonged to the Brazilian group EBX, which also controlled the assets of LLX Logistica and Centennial (the shareholders of LLX Sudeste). In 2010, the shares of LLX Sudeste were transferred to another company controlled by EBX, called MMX. The total investment was expected to be US$ 740 million (BRL 1756.6 million): 50% of this value was committed to the construction works, 33% to the acquisition of port equipment and 17% to other expenditures. In December 2009, BNDES approved a BRL 407.7 million loan to LLX Sudeste (interest rates were set fixed at 4.5% per year), which represents 80% of the investment to be made in equipment. In June 2010, BNDES approved an additional BRL 805.1 million in project finance to the company. In total, the financing package from BNDES totalled BRL 1.2 billion. The construction works commenced in early 2010 and the terminal is expected to start operations by the second half of 2011. In 2013, EBX Group faced financial difficulties. MMX sold 65% of its shares at Porto Sudeste to the Swiss company Impala (subsidiary of Trafigura) and the United Arab Emirates company Mubadala. Information source: LLX, BNDES, ANTAQ, Ibralog