Vale (NYSE:VALE) has signed a long-term iron ore shipping contract with HMM (KRX:011200) worth ₩4.7 trillion ($4.82 billion).
HMM announced the agreement on 8 September. Under the contract, the South Korean carrier will transport Vale’s iron ore using eight new 210,000-deadweight-tonne Newcastlemax bulk carriers.
The vessels will be delivered progressively from 2030, with each assigned to the contract for 25 years.
HMM disclosed plans in June 2026 to order the eight carriers, which will feature engines capable of running on methanol, ethanol, and bunker fuel.
The vessels will also be designed for potential conversion to liquefied natural gas or ammonia and fitted with rotor sails intended to improve fuel efficiency.
“This long-term contract reaffirms our strong, strategic partnership with a premier global charterer,” an HMM spokesperson says.
The agreement is the third major long-term shipping contract between Vale and HMM, following two 10-year contracts secured in May and September 2025.
Vale is a Brazil-based global mining company producing iron ore, pellets, nickel, and copper, supported by an integrated logistics network comprising railways, ports, and ships.
HMM is a South Korean shipping company operating container vessels and a diversified bulk fleet that includes dry bulk carriers, tankers, gas carriers, and vehicle carriers.
Write to France Pinzon at Mining.com.au
Images: HMM
