DJ Vale, Bunge Develop Project To Transport Ethanol In Brazil

Brazilian mining company Vale SA (VALE, VALE5.BR) and trading company Bunge are developing a partnership to transport ethanol to a port in Brazil's northern state of Maranhao, a Vale press officer confirmed Thursday.

The press officer confirmed a local newspaper report by Brasil Economico that Bunge intends to tap Vale's rail system to transport 100 million liters of ethanol to Itaqui port in 2010.

The newspaper also reported that Vale and Bunge aim to transport 300 million liters of ethanol by 2012.

Itaqui port is seen as an alternative to ports such as Santos and Paranagua, the newspaper said.

The press officer added that Vale still hasn't issued an official statement.

Brazil is the world's No. 1 exporter of sugarcane-based ethanol.

source:tradingmarkets