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Transcription:

The Steel Industry

Mining

Cement

Logistics and Infrastructure

CSN presents CSN Logistics Platform in Itaguaí Rio de Janeiro State

CSN Logistics Platform in Itaguaí A project that supplies Brazil s needs

CSN Logistics Platform in Itaguaí

CSN Logistics Platform in Itaguaí

Strategic location Modular and planned growth, according to demand Synergy between public and private terminals

CSN Logistics Platform in Itaguaí Expansion of Sepetiba Tecon Expansion of Tecar Logistics Support Center Berth 301 Equalization Improvement of Berths 302/303 Berths 103/203 Stockyard Lago da Pedra Private Port 850 thousand sqm for storage: Depot and storage of containers Dedicated warehouses Distribution centers Vehicles and parts Auxiliary services Pier 1 3 berths for general cargo 2 berths for containers Pier 2 2 berths for coal/coke 2 berths for iron ore Back storage area with 1.2 million sqm

World Economic Growth Growth of world GDP Globalization as a growth factor in world trade Increase in the use of containers in transportation of general cargo Maintenance of external demand Growth of overseas demand for iron ore World Transportation of Containers Trend of International Trade World GDP

Economic Growth in Brazil Brazilian GDP has grown more than 4% per year Growth in internal demand New steel industry projects envisage an increase in capacity above 30 Mtpy by 2015, with a consequent growth in coal imports The trend is for ships to keep increasing in size, thus requiring deeper terminals Growth in the use of containers Growth in the cabotage market Brazil Transportation of Containers Trend of International Trade Brazil GDP

Existing Brazilian Infrastructure The Brazilian logistics infrastructure (harbors, railways, highways and airports) is inadequate for current and future national demand Lack of storage facilities and auxiliary services Important ports such as Santos, Rio de Janeiro and Vitoria are near areas of dense population, creating logistical difficulties and limiting expansion. There is also limited draught for large vessels The majority of national ports need frequent dredging Public expenditure investment is not fast enough to meet urgent deadlines

CSN Logistics Platform in Itaguaí

Strategic Location Located in Itaguaí (RJ State), in Sepetiba Bay More than 60% of Brazilian GDP within an area of 300 miles No conflict with major urban centers Deep water area Reduction in the number of transfers (container vessels) Atlantic Ocean Itaguaí Port

Special Maritime and Onshore Infrastructure Onshore Access Duplication of Rio-Santos Highway and access to Itaguaí Port (to be concluded: 1st half 2009) Urban Ring Road (to be completed: 1 st half 2010) Area served by MRS, an international class railroad, a top Brazilian facility, with access to the storage area Guanabara Bay Itaguaí Port Duplication of the Rio-Santos Highway Urban Ring Road

Special Maritime and Onshore Infrastructure Maritime Access Deep water (present depth of the waterway, 18.5 m) Capacity to receive large size ships (a natural location for a Hub Port) Dredging of the access channel to increase depth to 20m and width to 200m - (CDRJ - R$64 million in 13 months) Project to double the access channel under way

Experienced Management Experience in running and operating cargo ports, general containers and bulk materials: Containers General Cargo - Steel Products Project Cargos -> In operation since Sept 1999 Tecar Coal and other bulk cargo -> Begining of operations by CSN in July 1997 Iron Ore -> In operation since Feb 2007 High productivity Terminals counting on modern infrastructure and equipment already operating with the latest IT systems

Experienced Management Sepetiba Tecon is the container terminal with the fastest recent annual growth in Brazil (75% average from 2003 to 2007) The largest container terminal in Rio de Janeiro State, with a throughput of 300 thousand TEUs per year Transportation of 1 million tons of steel products a year Transportation of 15 thousand tons of project cargo

Experienced Management Tecar Terminal specialized in importing and exporting bulk materials More than 10 million tons of Iron Ore shipped - 2 nd phase of 30 Mtpy already completed (Feb 2008) Throughput 4 million tons of coal and other materials per year (import)

Other Advantages Combination of joint enterprises, expansions and new projects CSN Logistics Platform in Itaguaí Joint enterprises Expansions New Projects Sepetiba Tecon S.A. Tecar Expansion of Tecon Expansion of Tecar Logistics Support Center Lago da Pedra Private Port Modular growth possibility - Logistics Support Center and Lago da Pedra Private Port using customized demand and solutions for our clients (built to suit) The project does not only supply the needs of the Itaguaí region, but those of Rio de Janeiro State and the whole Southeast of Brazil The company also has its own products (Iron Ore, Coal and Steel)

Expansion of Sepetiba Tecon CSN Logistics Platform in Itaguaí

Sepetiba Tecon Characteristics Length of quays: 810 m 2 berths in linked quays: 540m 1 berth with access bridge: 270m Draught: 14,5 m Back storage area: 400 thousand sqm Present Capacity 600 thousand TEUs / year 2 Mtpy General Cargo / Steel Products

Sepetiba Tecon Equalization of 301 Berth Characteristics Length of continuous quay: 810 m Draught: 14,5 m Investment US$ 63 million Deadline for Implementation Licensing Projects Execution 2008 2009 2010 1H 2H 1H 2H 1H 2H Quays: US$ 38 million Equipment: US$ 25 million Capacity 6 Mtpy General Cargo / Steel Products

Sepetiba Tecon Improvements to Berths 302/303 (+260 m) Characteristics Length of continuous quay: 1,070 m Draught: 14,5 m Enables 2 large vessels to be served simultaneously (8,000 TEUs) Back storage area: + 50 thousand sqm Investment US$ 103 million Quays/ Back storage area: US$ 47 million Equipment: US$ 56 million Deadline for Implementation Licensing Projects Execution 2008 2009 2010 2011 1H 2H 1H 2H 1H 2H 1H 2H Capacity 1,300 thousand TEUs/year

Expansion of Tecar CSN Logistics Platform in Itaguaí

Tecar Piers 103/203 and Stocking Areas Characteristics Pier: + 424 m Structurally prepared for vessels VLOC - 360,000 DWT Back storage area: + 260 thousand sqm Draught: 18.5 m Investment US$ 790 million * Capacity 100 Mtpy Iron Ore 8 Mtpy Coal / Other Products Deadline for Implementation Phase III - 45 Mtpy Phase IV - 55 Mtpy Phase V - 65 Mtpy Phase VI - 100 Mtpy 2008 2009 2010 2011 2012 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H *US$ 236 million already invested

Tecar Piers 103/203 and Stocking Areas Characteristics Pier: + 424 m Structurally prepared for vessels VLOC - 360,000 DWT Back storage area: + 260 thousand sqm Draught: 18.5 m Investment US$ 790 million * Capacity 100 Mtpy Iron Ore 8 Mtpy Coal / Other Products Deadline for Implementation Phase III - 45 Mtpy Phase IV - 55 Mtpy Phase V - 65 Mtpy Phase VI - 100 Mtpy 2008 2009 2010 2011 2012 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H *US$ 236 million already invested

Tecar Piers 103/203 and Stocking Areas Characteristics Pier: + 424 m Structurally prepared for vessels VLOC - 360,000 DWT Back storage area: + 260 thousand sqm Draught: 18.5 m Investment US$ 790 million * Capacity 100 Mtpy Iron Ore 8 Mtpy Coal / Other Products Deadline for Implementation Phase III - 45 Mtpy Phase IV - 55 Mtpy Phase V - 65 Mtpy Phase VI - 100 Mtpy 2008 2009 2010 2011 2012 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H *US$ 236 million already invested

Logistics Support Center CSN Logistics Platform in Itaguaí

Logistics Support Center Characteristics Depot and storage of containers Dedicated warehouses for: Steel Products Coffee Reefer Cotton Sugar Chemicals Distribution centers Vehicles and parts Auxiliary services Modular project (built to suit) Investment US$ 202 million Capacity 900 thousand TEUs/year Deadline for Implementation Licensing Projects Execution 2008 2009 2010 2011 2012 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H

Logistics Support Center Characteristics Depot and storage of containers Dedicated warehouses for: Steel Products Coffee Reefer Cotton Sugar Chemicals Distribution centers Vehicles and parts Auxiliary services Modular project (built to suit) Investment US$ 202 million Capacity 900 thousand TEUs/year Deadline for Implementation Licensing Projects Execution 2008 2009 2010 2011 2012 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H

Logistics Support Center Characteristics Depot and storage of containers Dedicated warehouses for: Steel Products Coffee Reefer Cotton Sugar Chemicals Distribution centers Vehicles and parts Auxiliary services Modular project (built to suit) Investment US$ 202 million Capacity 900 thousand TEUs/year Deadline for Implementation Licensing Projects Execution 2008 2009 2010 2011 2012 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H

Lago da Pedra Private Port CSN Logistics Platform in Itaguaí

Lago da Pedra Private Port Piers Characteristics Private Cargo: Iron Ore Coal / Other Materials Steel Products Pier 1: General Cargo / Steel Products Containers Pier 2: Coal / Others Iron Ore Investment US$ 791 million Deadline for Implementation Licensing Projects Execution 2008 2009 2010 2011 2012 2013 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H Capacity 60 Mtpy Iron Ore 12 Mtpy Coal / Other 1 thousand TEUs/year 11 Mtpy General Cargo / Steel Products

Lago da Pedra Private Port Back Storage Area Characteristics Stocking areas: 1.2 million sqm Iron Ore: 630 thousand sqm Coal/ other: 300 thousand sqm Containers: 140 thousand sqm General cargo: 120 thousand sqm Support areas: Gate Corporate building Warehouse Administrative building Cafeteria / Lockers Deadline for Implementation Licensing Projects Execution 2008 2009 2010 2011 2012 2013 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H Investment US$ 283 million Capacity 60 Mtpy Iron Ore 12 Mtpy Coal / Other 1 thousand TEUs/year 11 Mtpy General Cargo / Steel Products

CSN Logistics Platform in Itaguaí Capacities Total Iron Ore (Mtpy) 160 Coal/Coke (Mtpy) 20 Containers (thousand TEUs / year) 2.300 General Cargo/Steel Products (Mtpy) 17 CAPEX US$ mi Total Expansion of Sepetiba Tecon 166 Expansion of Tecar 790* Logistics Support Center 202 Lago da Pedra Private Port 791 Private Port Storage Area 283 Total 2.231 *US$ 236 million already invested Deadline for Implementation Expansion of Tecon Expansion of Tecar Logistics Support Center Lago da Pedra Private Port 2008 2009 2010 2011 2012 2013 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H

CSN Logistics Platform in Itaguaí CSN contributes with an efficient logistics solution to Brazil.