Brazilian miner Vale is considering the suspension of operations at its Malaysian TRMT terminal and distribution centre this month, which would result in 800,000 mt in lost shipments over the first quarter.
In a statement, Vale said it could temporarily halt operations at its Teluk Rubiah iron ore transhipment centre in Malaysia starting from March 21 until March 31 amid the coronavirus outbreak.
Vessels already heading to Malaysia will be redirected and redistributed among Vale’s blending facilities in China.
The company expects an impact on sales of about 800,000 mt in the first quarter, with an expected immaterial cost increase due to additional logistics operations.
“Vale is communicating with the authorities to clarify supposed restrictions imposed by the local government on transportation between cities, what could limit the access of workers to TRMT,” the company said
Vale’s TRMT terminal handled 23.7m tonnes of iron ore shipments in the year of 2019.
