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The Mining Company Bamin Received Concession to Complete Installation Works of the Railway That Will Connect Ilhéus to Caetité, in Bahia
The concession contract for the completion of phase I of the West-East Integration Railway (Fiol) is expected to generate 50,000 to 60,000 direct and indirect jobs, according to the CEO of Bamin Railways, Sérgio Márcio de Freitas Leite. He participated in the Program Politics & Economics, presented by journalist Donaldson Gomes, which discussed the latest news about the progress of the project in Bahia that is expected to mobilize investments of R$ 3.3 billion by 2026. Read this news as well: Bracell Plans to Invest R$ 250 Million in the Construction of a New Railway in the State of São Paulo
The Railway Project in Bahia
With a length of 537 kilometers, the Fiol I railway in Bahia will connect Ilhéus to Caetité, passing through the municipalities of Ilhéus, Uruçuca, Aureliano Leal, Ubaitaba, Gongogi, Itagibá, Itagi, Jequié, Manoel Vitorino, Mirante, Tanhaçu, Aracatu, Brumado, Livramento de Nossa Senhora, Lagoa Real, Rio do Antônio, Ibiassucê, and Caetité.
“When we started the project of the Companhia Siderúrgica do Pecém, in Ceará for example, our challenge was to prioritize the locals. Today, this unit has 85% of its workforce from Ceará. These people entered the job market with no experience. But in a selection process based on willingness, we are sure this will materialize here in Bahia as well,” compared Leite. In railway projects starting from scratch, this is one of the main concerns along with the training and development effort.
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Fiol I Works
Another point that the CEO of Bamin Railways highlighted was the forecast for the completion of the railway works, which is expected to be ready in early 2026. In the next six months, before resuming the finalization of the section, Sérgio Márcio de Freitas Leite stated – that a detailed study of the entire project is being carried out. “The contract was signed just over a month ago, and we are now immersed in refining the numbers so that when the work begins effectively, it has a harmonious start.”
The Fiol I railway was awarded in April of this year, to the mining company that operates the Pedra de Ferro Mine in Caetité, with a single bid of R$ 32.73 million for the grant. The contract signed last month has a validity period of 35 years. The operation of the logistics corridor will mean an increase in the capacity of ore supply by Bamin, from 1 million to 18 million tons. Bamin has even requested authorization to expand its production, which began in January of this year.
Also Check This News: Mining Company Plans to Invest R$1.2 Billion in the Construction and Operation of a New Railway in Bahia
The state of Bahia may soon gain a new railway and a private railway terminal. The ventures are part of a project submitted to the Ministry of Infrastructure (MInfra), through the railway authorization instrument established in the Legal Framework of the sector. The proposal belongs to the company Brazil Iron. The mining company plans to invest R$ 1.2 billion in the construction of 120 kilometers of new tracks and the implementation of the terminal. The entire project will be developed in three phases.
Initially, the mining company wants to execute a segment of 70 kilometers, between the municipalities of Abaíra, the location of the railway terminal it intends to structure, and Brumado. The stretch will connect the Mocó mine in Piatã (BA), and other mining rights that the company owns in the state, to the junction with the West-East Integration Railway (Fiol), near Brumado.
The second phase of the railway construction project and the mining company includes loading in the mine area, including access to ore storage areas and their loading stations, over an estimated distance of 50 kilometers. Finally, the Brazil Iron project includes ongoing technical studies for the company to extend the tracks and connect its mines to the Central-Atlantic Railway (FCA) as well.
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