Prumo has today (12) unveiled its earnings for the 3rd quarter of this year. From July to September Açu Port received investment of R$ 683.9 million (not including capitalized interest). The venture has received investment of R$ 6.2 billion since construction commenced in 2007 through to September this year (not including capitalized interest). R$ 2.7 billion of the total was invested by Anglo American and Ferroport (joint venture owned by Prumo (50%) and Anglo American (50%) – formerly LLX Minas-Rio) and R$ 3.5 billion by Prumo.
“The third quarter of 2014 demonstrated our capacity to deliver what we had planned for this year. The foundations for building and implementing Açu Port have been permanently laid and the Port became a reality when the first shipment of iron ore was loaded at Terminal 1. We are still awaiting this year the first commercial operation in the channel of Terminal 2”, said Eduardo Parente, CEO of Prumo.
The headlines for the quarter include the first iron ore operation at the dedicated pier of T1, the expansion of Edison Chouest’s area, the conclusion of the wharfline of clients and the Multicargo Terminal (TMult) and the capital increase of up to R$ 650 million. This increase aims to finalize the current stage of Prumo’s investments, by completing the main civil works fronts in 2014 and preparing the Company for a new wave of investments in 2015.
Investments
R$ 186.9 million of the total R$ 683.9 million invested in the 3rd quarter (not including capitalized interest) was invested by Anglo American and Ferroport, responsible for developing the Port’s iron ore terminal. The amount was invested in the construction of the breakwater, land management and property security, project management, stockpile yard, dredging, in addition to the creation of the electricity grid of the 138-kV transmission line that connects the Campos substation to Açu Port.
Prumo invested R$ 497 million in the third quarter. Of this amount, R$ 377.2 million was invested in the construction of the T2 channel (R$ 298.9 million in the breakwater, R$ 46.3 million in dredging the channel and R$ 32 million in sheet piles for the construction of the wharfline). A further R$ 66.5 million was invested in the breakwater of Terminal 1. An investment of R$ 52.8 million was also made in the development and construction of other infrastructure works such as the implementation of the 345-kV Transmission Line, engineering projects and works management, administrative expenses, road surfacing and maintenance, sustainability etc.
Quarterly earnings
In the 3rd quarter Prumo reported net revenue of R$ 21.9 million from renting land to its clients. The administrative expenses were R$ 39.2 million, some R$ 14 million less than in the same period the previous year. Prumo closed the 3rd quarter of 2014 with a balance of cash and cash equivalents of R$ 188.6 million and debts of R$ 2.8 billion, including interest and monetary restatement. The net loss in the quarter was R$ 95 thousand.
Açu Port
With 17 km of piers which can simultaneously moor up to 47 vessels, Açu Port is located in São João da Barra, in northern Rio de Janeiro. Occupying 90 km² the venture is comprised of Terminal 1 (T1 – offshore) and Terminal 2 (T2 – onshore).
T1 consists of a 3-km access bridge, a tugboat pier, 9 oil and iron-ore piers, approach channel and turning basin. The terminal will have a total wharfline of 4 km.
T2 is located around a 6.5 km long, 300 meter wide approach channel with a depth of 14.5 meters. Works are taking place on the site for the construction of the approach channel, turning basin and implementation of the transmission line. With a wharf line of over 13 km, T2 will handle project cargo, coal, bauxite, vehicles, liquid and solid bulk and oil.
