RE: Amapa rail road news 3rd Dec8 Dec 2019 20:17
The Pedra Branca Alliance PTE Ltda business group is responsible for the Recovery Plan approved by the SĂŁo Paulo Court of Justice. With 90% approval by the involved creditors' meeting, the plan, estimated at US $ 200 million (R $ 900 million), aims to revitalize the railroad, recover the port terminal and the mine to resume activities. . As an initial part of the process will be the release of US $ 2.5 million for workers' payment.
With the agreement signed and the decree of annulment of the Amapá Railway (EFA) forfeiture, Governor Waldez Góes underscores the importance of companies reinforcing the care with social issues involved in the Recovery Plan.
“We have done our part and now, on the social issue, there must be a great deal of caution, because after all this time the misuse of the railroad has taken place, and we must be aligned to invest and put the plan to the best possible execution.” , said.
The companies Cadence Minerals PLC, IndoSino PTE Ltda and DEV Mineração must initially pay a portion of the debt left by the former management of the mining activity in Amapá.
The representative of Pedra Branca Alliance, Washington Luiz, spoke about the conditions to make the payment.
“We have already deposited $ 2.5 million in the judicial reorganization process. As we have the vision of the most sensitive points here in the state, we agreed to enter only if it was possible to fully pay the skilled workers in recovery. There were some conditions to be released. One of them was this Term of Agreement. Now we have to close the negotiation with the bank for the release of these values, ”he said.
The plan foresees as a safety measure that all iron ore sold is in the port or mine, and the amounts will be fully reversed in investment in the project. In addition to workers, local lenders are on the priority payment plan, and within 7 years debts will be fully paid.
“We have a total investment forecast of US $ 200 million over the next 5 years. In addition to recovery, there is cash generation and movement in the economy. The project will generate about 2,000 direct jobs and 6,000 indirect jobs, ”said Washington, representative of the group responsible for the Recruitment Plan.
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