{"id":1100283,"date":"2019-02-15T23:30:36","date_gmt":"2019-02-15T23:30:36","guid":{"rendered":"http:\/\/www.mining.com\/?p=971309"},"modified":"2019-02-15T23:30:36","modified_gmt":"2019-02-15T23:30:36","slug":"fire-shuts-down-vales-malaysia-distribution-center","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1100283","title":{"rendered":"Fire shuts down Vale\u2019s Malaysia distribution center"},"content":{"rendered":"

Iron ore mining giant Vale (NYSE:VALE) issued a statement Friday<\/a> advising that\u00a0there was\u00a0a fire\u00a0in one of the transfer houses of the belt conveyor system at its distribution center in Malaysia.<\/p>\n

The fire reportedly caused material damage only and the company expects operations to resume in 10 to 15\u00a0days.<\/p>\n

Vale expects reduced impact on its shipments, since\u00a0a 10-day\u00a0preventive maintenance was already scheduled at\u00a0the terminal during the same\u00a0period.<\/p>\n

Wood Mackenzie senior research analyst Alex Griffiths weighed in on what the Malaysian distribution center shutdown means for the market. The announcement came on the same day that eight Vale employees\u00a0were arrested in Brazil<\/a>\u00a0as part of the ongoing investigation into the deadly dam collapse that left 166 people dead and over a hundred still missing.<\/q><\/p>\n

“A 10 to 15 day unexpected shut-down translates to a 0.6 Mt to 1.0 Mt reduction in exports. But we do not think average export volumes will suffer,\u201d Griffiths said in an email.<\/p>\n

Vale ships on average around one vessel every two days from Malaysia but the distribution centre is capable of discharging one vessel daily.<\/p>\n

\u201cThe center should be in a position to increase March shipments to make up for this loss. The capacity of the import berth (10,500 tonnes per hour) exceeds that of the export berth and so stocks can rise during normal operations,\u201d said Griffiths. \u00a0\u201cAs Vale indicated a 10-day shutdown was coincidentally planned for this period the most likely outcome is that the company can make up any lost tonnages in March.\u201d<\/p>\n

Griffiths added that should the outage exceed the 10 to 15 day estimate, then Vale will have to make up around 0.06 Mt per day in lost shipments.<\/p>\n

“The majority of material from the Malaysian distribution center is Brazilian Blend fines destined for China. A significant delay in restarting operations would add to pressure on this segment of the market \u2013 already likely to suffer in response to reduced supply following the tragic dam disaster on January 25th<\/sup>,\u201d Griffiths noted.<\/p>\n

The announcement came on the same day that eight Vale employees were\u00a0arrested in Brazil<\/a>\u00a0as part of the ongoing investigation into the deadly dam collapse that left 166 people dead and over a hundred still missing.<\/p>\n

As part of the fallout, Vale\u00a0declared force majeure<\/a>\u00a0on some iron ore contracts after a court-ordered halt to the mine responsible for nearly 9% of its output following the dam burst.<\/p>\n

The post Fire shuts down Vale\u2019s Malaysia distribution center<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

The majority of material from the Malaysian distribution center is Brazilian Blend fines destined for China. <\/p>\n

The post Fire shuts down Vale’s Malaysia distribution center<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"author":47,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[1545,404,369,703],"tags":[19,30,294],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1100283"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/47"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1100283"}],"version-history":[{"count":1,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1100283\/revisions"}],"predecessor-version":[{"id":1100284,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1100283\/revisions\/1100284"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1100283"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1100283"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1100283"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}