[Ferro-Alloys.com]The Brazilian Gerdau Group announced earlier this month about its new investment to ensure the enough self-sufficiency iron ore for the steel plants of the group.

The company said the new explored mines in Minas Gerais State owns around 6.3 billion tons of iron ore reserves contain 40% Fe, a 117% more that original evaluation of 2.9 billion tons.

The company said it plans to invest USD419 million for the mining projects in the initial stage to reach production capacity of 11.5 million tons a year in 2013, then will invest another USD669 million later on to enlarge this number to 18 million tons a year in 2016.

According to the company, such amount is sufficient to meet the demand within the group, and moreover, will able to export the surplus capacity.