Japan-based marine company NS United Kaiun Kaisha has received a 25-year contract of affreightment for the transportation of Brazilian iron ore from Brazilian mining giant Vale S.A.
NS United said that the agreement would cover the transportation of an estimated volume of 40 million tons throughout the contract years.
Scheduled to commence in the second half of 2019 on the major service route between Brazil and China, the work will be undertaken by NSU’s newly built 400,000 dwt eco-type ore carrier.
Earlier in December, the Brazilian company concluded the talks with shipping company Polaris Shipping for the sale of four Capesize bulk carriers for a total of USD 140 million.
One of the vessels was delivered on December 5, while the remaining vessels are expected to join their new owner in December 2016 and in January 2017.
According to data provided by VesselsValue, Vale owns a fleet of 16 bulkers with a total size of 4.5 million dwt.