China Cosco Shipping Corp (Coscocs) and Vale have signed a 27-year agreement in which the Chinese shipping conglomerate will carry 16m tons of iron ore for the Brazilian miner each year.
The companies signed the agreement in a ceremony in Beijing on Friday, Coscocs said in a statement today. The contract’s value was not disclosed.
The Chinese carrier said the agreement represented the “beginning of a new chapter of cooperation between the two companies”.
Earlier this month, three Chinese shipping companies ordered a total of 30 400,000-dwt valemaxes for delivery from 2018 for charter to Vale. The orders are estimated to be worth a combined $2.5bn and were all placed with Chinese shipyards.