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CSN miner no longer to build railway to Port of Suape, but promises connection to Pecém in less than 7 years

Dec, 28, 2022 Posted by Gabriel Malheiros

Week 202252

Brazil’s CSN mining company decided to return the Transnordestina (TLSA) railway section that would connect the Port of Suape to the public power. The material fact published included the 1st amendment to the railroad concession contract.

“In accordance with Deliberation No. 400, of December 22, 2022, of the board of the National Land Transport Agency – ANTT, published in the Federal Official Gazette on 12/23/2022, which aims to alter which parts of the TLSA railway are granted to private construction, adjust mandatory investments, deadlines, and penalties, as well as define new obligations and sanctions in case of non-compliance and established in which conditions the Salgueiro-Port of Suape rail stretch may be returned to its original holder,” highlights an excerpt from the document.

The amendment, according to CSN, “represents an important step in the evolution of the Transnordestina Project, which is of great importance for the development and flow of products in the Northeast Region of Brazil.”

While Pernambuco mourns the loss, the railroad section towards Pecém remains guaranteed. The idea is to complete the work in up to seven years.

“The deadlines to be agreed upon between ANTT and TLSA should consider a period of up to 7 years for the completion of the works on the remaining section of the TLSA, beginning with the signature of the amendments and the establishment of the new schedule of works,” read an ANTT publication.

With the readjustment of the road network, the railroad will have 1,206 km, connecting Eliseu Martins, in Piauí, to Pecém. It will also pass through Salgueiro, in Pernambuco.

According to the company, the stretch became “unfeasible” for economic and financial reasons.

So far, TLSA will end 2022 with approximately 815 km built. Around 215 km were completed this year by the company.

Source: Focus Jor

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