MOL inks 25 year ore carrier deal with Vale

Mitsui OSK Lines (MOL) has inked a 25-year contract with Brazilian mining giant Vale to transport iron ore from Brazil to China. The contract is for two very large ore carriers (VLOCs) to serve the Vale – China shuttle service. MOL has ordered a pair of 300,000 dwt VLOCs from Universal Shipbuilding Corp for delivery in 2012 and 2013 to service the contract. “Long-term contracts with stable and large iron ore mining companies will help secure cashflow stability for MOL and allow the company to develop more stable portfolio strategies as it moves ahead,” MOL said.