Abu Dhabi, UAE — AD Ports Group and Brazil’s Vale, the world’s largest producer of iron ore and nickel, sign an MoU to develop a Mega Hub in Abu Dhabi for industrial complexes that produce low-carbon products for the steelmaking industry for both the local and seaborne markets, with a significant reduction of CO2 emissions.
The agreement will see an allocation of land and related services from KEZAD for the Mega Hub, in addition to the development and management of a handling facility at Khalifa Port, capable of accommodating Valemax vessels with a handling capacity of up to 50 million tons of cargo per annum.
Furthermore, AD Ports Group will develop and manage conveyor infrastructure to transport iron ore and finished products to and from Khalifa Port and KEZAD and will be exploring commercial collaboration with Vale on the marketing and sale of various bi-products of the manufacturing process in the UAE and the wider region.
The agreement also includes a maritime collaboration to explore opportunities related to the management and operation of very large ore carriers (VLOCs) and other possible avenues of partnership.
Captain Mohamed Juma Al Shamisi, Managing Director and CEO of AD Ports Group, said, “Growth and sustainability must go hand in hand, our collaboration with Vale signifies a key step in our contribution towards meeting the UAE Net Zero 2050 strategic initiative.”
Eduardo Bartolomeo, the CEO of Vale, said, “We are encouraged by this opportunity to build a Mega Hub in the UAE, a country which is strategically positioned to positively influence our drive to significantly reduce CO2 emissions around the globe. Our ability to leverage this new concept of using low-carbon technology in the production of hot briquetted iron (HBI) signals the success of our products globally.”