By Intern 1
June 18, 2026

Emerson Souza, Vice President of Institutional Relations at Brazil Iron, outlined to CNN Money the plans for one of the largest private sustainable mining projects currently under development in Brazil. During the interview, conducted for the CNN Money program, he discussed the progress of the Green Iron Project, currently being developed in the municipality of Piatã, in the Chapada Diamantina region. The multi-billion-dollar investment aims to integrate the entire iron ore value chain—from mining to the production of raw materials for low-carbon steel—within the broader context of the global energy transition in the steel industry.

Chapada Diamantina and the First Integrated Green Iron Project in the Americas
Brazil Iron’s project involves an estimated investment of US$5.7 billion and establishes a fully integrated production chain, ranging from mining operations in the municipalities of Piatã, Abaíra, and Jussiape to mineral processing, railway logistics, and final industrial processing. The project also includes connections to port infrastructure, where the iron ore will undergo additional processing before becoming green iron, intended to supply the global low-carbon steel industry.

During the interview, Emerson Souza highlighted the innovative nature of the initiative: “What we are bringing with Brazil Iron’s Green Iron Project is something truly innovative. Although everyone recognizes the importance of decarbonizing the steel industry, the pathways forward are still largely unknown. Within our project, green iron production represents one of the main routes toward achieving green steel.”

He further emphasized the unprecedented scale of the development: “Our project is the first in the Americas to integrate mining with green iron production.” According to Souza, the initiative is designed to position the state of Bahia within a new global value chain for low-carbon steel production.

The executive also stressed the financial and structural scale of the project: “This is a multi-billion-dollar investment—US$5.7 billion—to fully integrate the project, from mining operations to the final production of green iron.” The investment includes mining operations, mineral processing plants in the Chapada Diamantina region, and downstream industrial facilities.

According to Souza, the logistics infrastructure has been designed to maximize operational efficiency: “This investment covers the mining operation itself, an initial processing plant located near the mine in the Piatã, Abaíra, and Jussiape region, as well as the railway branch that will transport the material to the main railway network and onward to the port facilities.”

Beyond its industrial significance, the initiative also repositions the Chapada Diamantina region as a strategic hub for sustainable mining by integrating environmentally responsible technologies with efficient processing and logistics systems. The project connects the interior of Bahia to a global supply chain supporting the energy transition, particularly at a time of growing international pressure to reduce emissions from steel production.

Technology, Sustainability, and Logistics for a New Era of Mining in Bahia
The project is currently undergoing environmental licensing, with environmental impact studies conducted by independent technical institutions. Emerson Souza explained: “All environmental impact studies have already been completed. To ensure the highest technical standards and maintain a degree of independence, the studies were not carried out by our own company, but by SENAI Cimatec.”

Among the project’s most significant innovations is the complete replacement of internal haul trucks with a long-distance conveyor belt system extending more than 16 kilometers, powered entirely by renewable energy.
According to Souza: “The entire process of transporting material within the mining operation will take place without trucks; it will be carried out exclusively by conveyor belts.”

He also emphasized the project’s sustainability commitment: “The conveyor system is powered by clean, renewable energy.” In addition, the project has been designed without the need for tailings dams, incorporating modern sustainable mining technologies.

Another important feature is the simultaneous land rehabilitation model, which allows mined areas to be restored while mining operations continue. “We have a mine rehabilitation machine that enables us to restore areas at the same time we are extracting ore.” He added: “Within approximately seven years, the restored land will once again be suitable for agriculture.”

From a logistics standpoint, production is expected to be transported primarily via the West-East Integration Railway (FIOL) and the future Porto Sul, both considered essential to the project’s global export strategy. Souza also mentioned an alternative logistics option: “Plan B would be the FCA railway network. It is not the preferred option, as it requires upgrades, but the railway branch we intend to build will connect to both FIOL and FCA.”

The project schedule calls for implementation to begin in 2027, with commercial production expected to start in 2030. Long-term sales agreements have already been signed with customers in Europe and Asia. “We have already secured two offtake agreements covering ten years of green iron production. This provides much greater confidence for investors and clearly demonstrates market demand for the project.”

Souza also highlighted the company’s interest in institutional partnerships, including potential support from BNDES, Brazil’s National Development Bank: “Without a doubt, BNDES participation is in the company’s interest—not only because of the financial support it could provide, but also because of the government endorsement that comes with having BNDES backing the project.”

Jornal da Chapada

Photo: Disclosure

Source: Chapada: Brazil Iron Vice President Highlights US$5.7 Billion Project Integrating Innovation and Sustainability into Green Iron Production in Piatã