Vale updates on the outbreak of the coronavirus and implications for Malaysia distribution center
Vale would like to update the market on the steps and policies it is taking to safeguard its employees, businesses and communities surrounding its operations from the threats that are being posed by the COVID-19 (Coronavirus) outbreak, and on the consequences of such measures, the company said in its release.
Vale could temporarily halt, starting on Saturday, its distribution center in Malaysia, Teluk Rubiah Maritime Terminal (TRMT) - 23.7 Mt of iron ore shipped in 2019 -, until March 31st. Vale is communicating with the authorities to clarify supposed restrictions imposed by the local government on transportation between cities, what could limit the access of workers to TRMT.
In that scenario, vessels heading to TRMT will be redirected and redistributed among our blending facilities in China with no expected impact on production and sales volume in 2020, but with an impact on sales of approximately 800.000 t in 1Q20.
An immaterial cost increase is expected due to additional logistics.
Vale reaffirms its commitment to the safety of its people and the communities in which it operates and will keep investors and markets informed of future developments.
