To see the virtue in the info in this post your investment time frame will need to be a little longer than a trader's.
Something more akin to the investment time frame of the bigger funds (ala the big 3) would be required.
On the map below you'll see a representation of the AVB tenements and a town some modest distance off to the east (right) called Eldorado do Carajás, a station on this new rail line. This proposed major infrastructure project would likely have a significant impact on the bottom line for AVB's transportation costs of both equipment and supplies onto site and the freighting of concentrate to the nearest deep water port. I'm not yet aware of time frames but the proposal has been gazetted by the Para state government and all studies are going on in parallel so it sounds like they could be serious. I would be surprised if they weren't aware of AVB's need to ship 150,000 to 200,000 tonnes of concentrate per year within a 3 to 5 year time frame. It won't require much of a saving per tonne on rail freight to add up for AVB's bottom line.
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http://noticiasmineracao.mining.com...-para-estudos-de-impacto-ambiental-da-fepasa/
The State Secretariat for Economic Development, Mining and Energy (Sedeme) filed with the Secretary of State for Environment and Sustainability (Semas) the Terms of Reference of the request to initiate the environmental studies for the railway licensing purposes that will connect the south Para the Port of Barcarena, whose concession the State intends to bid. The Semas has 30 days to decide on the application for authorization of the project, which will be later EIA Rima object.
For the Economic Development Secretary of Pará, Adnan Demachki, is a major breakthrough for the realization of the project. 'It is an essential step to guarantee the viability of the railway. The goal is to act on two fronts that transcorrerão in parallel: one is the environmental licensing of the project and the other the completion of studies with a view to bidding award, "said Demachki.
The FEPASA, as it is called by the railway technical state, should receive investment of R $ 8 billion. With a length of 1200 km, the route of the railroad starts in Barcarena across all the palm-growing region of the state, the municipalities of Paragominas and Rondon do Pará, where it leaves much of the soy and bauxite / Para alumina, to Maraba, ending in Santana do Araguaia, producer of soybean area, but with mineral occurrences that are not yet exploited by lack of logistics. The Pará government is expected in the first year of operation, the railroad demand is almost 30 million tonnes transported, mainly ores and grains, expected to increase this volume to 48 million tons / year in five years.
The railroad has already raised interest of large multinational companies, in agribusiness and mining area. Adnan Demachki explains that the technical feasibility studies of Pará railroad started in March this year and are nearing completion. The registration request for the start of environmental studies by the Semas is a proactive attitude of the Secretariat, interested in accelerating the process of bidding for the railway concession on the project's technical feasibility perspective.
The government of Pará, through Sedeme Its mission is to formulate and implement the policy of economic development and find solutions to building a solid and integrated production base in order to foster a business environment conducive to job creation and income and industrial verticalization. "We are developing public policies for achieving a genuinely Para railway through Public-Private Partnership (PPP) '', says the secretary. Once completed, the railway will be a cheaper alternative for the transportation of production coming from the south and southeast of Pará, in addition to promoting the integration between road and waterway modes, establishing a multimodal circuit for transporting heavy load.
Geographical location
The railway line Trunk Line begins about 25 kilometers south of the city of Santana do Araguaia, in a logistics platform and industrial heading towards north, parallel to the BR-158 highway, passing through the cities of Redemption, Xinguara, Eldorado do Carajás, to the city of Maraba, where it is planned a bridge of approximately 1,500 meters.
North of Maraba is expected other logistics platform. In this segment the route provides a region with flat-undulating topography, showing no major transposition works - except the bridge over the river Tocantins - and Mid earthwork movement.
In sequence even towards north and parallel to the PA-150 highway, the railroad follows to the city of New Ipixuna, taking from there the eastbound near the BR-222 until the Alumina Project Rondon, returning in the north direction, through St. Anthony, Castanhandeua, Moju and Barcarena. In the first stage, the Maraba Trunk Line to Barcarena will be built and in the second, the Santana-Maraba section.
Extension Paragominas - Vila Nova
The railway branch of Paragominas starts in the city of the same name, the vicinity of the BR-010 (Belém-Brasília) and develops in the west, near the PA-256 highway, passing by the company Hydro Paragominas mine (bauxite exploration ), and then the future logistics platform located in PA-256's junction with the Rio Capim (50 kilometers from Paragominas) to reach the main line section near the town of Vila Nova. This route will be built in the first stage.
Extension Alumina - Rondon
The Rondon rail extension starts in Rondon Alumina, following the southeast to the city of Rondon do Pará, served by the BR-222. At the direction of Governor Simão Jatene, the secretary Adnan Demachki presented the project to the federal government and proposed the construction of an extension of 58 kilometers, linking the FEPASA in Rondon do Pará, the already existing stretch of the North-South railway, allowing Para loads, and access the Port of Barcarena also can access the central / southern Brazil and vice-versa.
Valeria Nascimento - State Secretariat for Economic Development, Mining and Energy
Source: Pará Agency
