LUMUT’S multi billion ringgit iron ore transhipment project by Vale International SA is expected to generate about 3,000 jobs when it is operational.

Perak Mentri Besar Datuk Seri Dr Zambry Abdul Kadir described the project, located in Teluk Rubiah, as a development catalyst for the state and country.

Initial construction of the Brazilian venture, involving a jetty and distribution centre costing RM4bil, is expected to be completed in 2014.

Work in progress: The jetty for the Vale iron ore distribution centre in Teluk Rubiah being constructed.
“Vale’s presence here will be beneficial to the state in terms of future planning,” Dr Zambry told reporters after the project’s ground-breaking ceremony on Saturday.

The project, mooted by former Mentri Besar Tan Sri Mohamad Tajol Rosli Ghazali, was met with objections from various groups when it was first announced.

They had cited potential environmental problems as their concern.

Vale executive director Jose Carlos Martins Antonio who was present during the ceremony, gave his assurance that all precautions had been taken to protect the environment.

“It is our commitment to this country, authorities of this country and to the people of Perak.

“We are here to improve the people’s livelihood,” he said.

With the distribution centre, iron ore would be readily available if Malaysia decides to produce its own steel in future, he added.